Equator Principles Report - Oman Refinery Company · produced in the RFCC unit and new delayed...
Transcript of Equator Principles Report - Oman Refinery Company · produced in the RFCC unit and new delayed...
Oman Oil Refineries and Petroleum Industries Co. Sohar Refinery, PO Box: 282 Falaj Al Qabail, PC: 322, Sohar Sultanate of Oman
HMR Environmental Engineering Consultants P.O. Box: 1295, CPO Seeb, Postal Code: 111 Sultanate of Oman Tel: (968) 24618800; Fax: (968) 24618811 Email: [email protected] www.hmrenv.com
Equator Principles Report
Liwa Plastic Industries Complex
2 September 2015
Orpic, Sultanate of Oman Equator Principles Report (LPIC)
Issue and Revision
Rev. Document Description Date HMR Company
Prepared Checked Approved Approved
G
Equator
Principles
Report Draft
Fourth Draft for
Lender review 02/09/2015 HMR HMR HMR
F
Equator
Principles
Report Draft
Third Draft for
Lender review 18/08/2015 HMR HMR HMR
E
Equator
Principles
Report Draft
Third Draft for
Lender review 18/08/2015 HMR HMR HMR Orpic (Fahd)
D
Equator
Principles
Report Draft
Draft Review,
Issued for
Lender
Comments
25/06/2015 HMR Nashwa Nashwa and
Radhe
Noelia
Benzal
Martinez/
Fahd Sharaf
C
Equator
Principles
Report Draft
Draft Review,
Issued for
Lender
Comments
31/03/2015 Nashwa Nashwa Stuart
Noelia
Benzal
Martinez/
Fahd Sharaf
B
Equator
Principles
Report Draft
Draft review,
Issued for
CB&I and
Orpic comments
26/03/2015 Radhe Nashwa Stuart
Noelia
Benzal
Martinez/
Fahd Sharaf
A
Equator
Principles
Report Draft
Draft review,
Issued for
CB&I and
Orpic comments
26/03/2015 Radhe Nashwa Stuart
Noelia
Benzal
Martinez/
Fahd Sharaf
This document has been prepared for the above titled Project and it should not be relied upon or used for any other Project without the prior written authority of HMR Environmental Engineering Consultants. HMR Environmental Engineering Consultants accepts no responsib ility or liab ility for this document to any party other than the client for whom it was commissioned .
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Contents
Section 1. Introduction .................................................................................................................7
1.1. Report Boundaries ...............................................................................................................7
1.2. Assumptions and limitations .................................................................................................8
1.3. Project Description ..............................................................................................................8
1.4. Project location .................................................................................................................. 10
NGLE Plant .............................................................................................................................. 10
Pipeline Location ...................................................................................................................... 10
Petrochemical Complex in SIPA ................................................................................................ 11
1.5. Project contractual details ................................................................................................... 12
Section 2. Equator Principles ...................................................................................................... 14
2.1. EP1: Review and Categorization ......................................................................................... 14
2.2. EP2: Environmental and Social Assessment ........................................................................ 14
2.3. The Scope of EIA Document .............................................................................................. 15
Alternative Analysis .................................................................................................................. 16
Scope of Environmental and Social Management Plan ................................................................. 16
2.4. EP3: Applicable Environmental and Social Standards .......................................................... 17
2.5. EP4: Environmental and Social Management System and Equator Principles Action Plan ...... 17
2.6. EP5: Stakeholder Engagement ............................................................................................ 17
2.7. EP6: Grievance Mechanism................................................................................................ 17
2.8. EP7: Independent Review................................................................................................... 18
2.9. EP8: Covenants ................................................................................................................. 18
Host Country Environmental Regulatory Framework................................................................... 18
International Conventions Signed by Oman................................................................................. 21
2.10. EP9: Independent Monitoring and Reporting .................................................................... 22
2.11. EP10: Reporting and Transparency.................................................................................. 23
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Section 3. IFC Performance Standards ......................................................................................... 24
1. Assessment and Management of Environmental and Social Risks and Impacts .......................... 28
Indirect and Cumulative Impacts.................................................................................................... 31
Indirect Impacts ........................................................................................................................ 31
2. Labor and Working Conditions............................................................................................... 46
3. Resource Efficiency and Pollution Prevention ......................................................................... 47
4. Community Health, Safety and Security .................................................................................. 47
5. Land Acquisition and Involuntary Resettlement....................................................................... 47
6. Biodiversity Conservation & Sustainable Management of Living Natural Resources .................. 47
7. Indigenous Peoples ................................................................................................................ 48
8. Cultural Heritage ................................................................................................................... 48
Section 4. EHS Guidelines .......................................................................................................... 63
Applicable EHS Guidelines ........................................................................................................... 63
Noise ........................................................................................................................................... 63
Ambient Air quality ...................................................................................................................... 64
Treated Effluent Discharge ............................................................................................................ 65
In stack Concentrations ................................................................................................................. 66
References ....................................................................................................................................... 67
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List of Tables
Table 1 - EIA Contents ..................................................................................................................... 15
Table 2 - Omani Environmental Laws and Regulations ....................................................................... 19
Table 3: International Conventions signed by Oman applicable to the project ....................................... 21
Table 4: Impacts during the Construction & Operation Phase (Petrochemical Complex) ........................ 28
Table 5: Impacts during the Construction & Operation Phase (NGLE) ................................................. 29
Table 6: Impacts during the Construction & Operation Phase (Pipeline) ............................................... 30
Table 7: LPIC Stakeholder Engagement Matrix .................................................................................. 36
Table 8: IFC Performance Standards .................................................................................................. 49
Table 9: Noise Level - EHS Guideline vs Omani Standards ................................................................. 64
Table 10: Comparison between WHO standards as specified in IFC EHS Guidelines (Environmental,
Health, and Safety General Guidelines, April 30, 2007) and the Omani Ambient Air Quality Provisional
Standards ......................................................................................................................................... 64
Table 11: Comparison of effluent discharge standards in the EHS Guidelines for Large Volume
Petroleum-based Organic Chemicals Manufacturing (April 30, 2007) and the Omani Marine Discharge
Standard MD 159/2005 ..................................................................................................................... 65
Table 12: Comparison for in stack concentrations standards in the EHS Guidelines for Large Volume
Petroleum-based Organic Chemicals Manufacturing (April 30, 2007) and the Omani standard for Air
Emission from Stationary Sources, MD 118/2004 ............................................................................... 67
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List of Figures
Figure 1: LPIC Project Timeline ..........................................................................................................9
Figure 2: NGLE Plant Location ......................................................................................................... 10
Figure 3: Proposed Pipeline Route ..................................................................................................... 11
Figure 4: Proposed Petrochemical Complex ....................................................................................... 12
Figure 5: LPIC Value Creation .......................................................................................................... 37
Figure 6: LPIC Communication Plan ................................................................................................. 38
Figure 6: Villages within Study Area ................................................................................................. 39
Figure 7: Villages within the NGL Pipeline Route (100m Buffer) ........................................................ 44
Figure 8: NGLE Location and Project Boundary................................................................................. 46
List of Appendices
Appendix A – Environmental Impact Assessment (EIA)
Appendix B – Environmental Management Plan (EMP)
Appendix C – Rapid Risk Assessment (RRA)
Appendix D – Orpic Health, Safety and Environment (HSE) Manual
Appendix E – Orpic Human Resources (HR) Manual
Appendix F – Communications Plan
Appendix G – Key Stakeholders Engagement Matrix
Appendix H – Contractor Organization Charts
Appendix I – Traffic Management Plan
Appendix J – Security Plan
Appendix K – Community/Corporate Social Responsibility (CSR) activities
Appendix L – Orpic Emergency Response Plan
Appendix M – Orpic‟s Training Program (Corporate and HSE)
Appendix N- Initial Impact Assessment of Construction camps
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Section 1. Introduction
Oman Oil Refineries and Petroleum Industries Company (Orpic) is one of Oman s̀ largest companies and
a rapidly growing business in the Middle East s̀ oil industry. Orpic currently operates oil refineries (MAF
and Sohar Refinery), an aromatics plant and a polypropylene plant at its complex located within the port
of Sohar Oman. Placing safety and environment at the top of its core values, Orpic is committed to
protecting the environment and communities in which it operates. Identifying, managing and addressing
environmental and social impacts are key components of Orpic projects and operations, and integral to
ensuring the sustainable development of the nation.
The Liwa Plastics Industries Complex ((LPIC) (also known as Liwa Plastics Project (LPIC)) is a
transformational project aimed at improving Orpic‟s product mix and business model. The Project is
located on the existing Orpic facility in the Sohar Industrial Port Area (SIPA). Land within the zone has
already been allocated to allow for LPIC and the 2016-scheduled Sohar Refinery Improvement Project.
An Environmental Impact Assessment (EIA) and related environmental management plans (EMP) have
been prepared for the LPIC Project to baseline and manage the environmental and social impacts of the
Project.
This document serves to complement the EIA and outline how LPIC is assessing and managing
environmental and social risks of the project in accordance with the Equator Principles (EP), IFC
Performance Standards (PS) and the associated Environmental, Health and Safety (EHS) Guidelines. As
such, this report has been divided into three main sections:
1. Equator Principles
2. IFC Performance Standards
3. EHS Guidelines
1.1. Report Boundaries
This report encompasses the three components of LPIC Project, which include:
Natural Gas Liquid Extraction (NGLE) Plant in Fahud,
A 300km pipeline between the NGLE and Sohar Industrial Port Area (SIPA); and,
The Petrochemical Complex at SIPA
This report and corresponding appendices address the construction and operation phases of the Project.
The decommissioning phase will be after the plant life (expected to be about 30 years) and accordingly,
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no specific information is available at present. The impacts during the decommissioning are expected to
be similar to that of the construction phase.
1.2. Assumptions and limitations
The following assumptions and limitations should be considered throughout this report:
a) The Project adopts all policies, manuals and procedures of the parent company (Orpic) throughout the
lifecycle of all three segments of the Project.
b) Upon completion of FEED, the EPC Contractor for the Project will be selected through a competitive
bidding process. The selected EPC Contractor will undertake the detailed engineering, construction
and commissioning of the plant facilities. The EPC Contractor will typically engage subcontractors
for various construction activities, some of whom are expected to be local (Omani) companies. The
EPC Contractor and associated subcontractors will, at a minimum, adopt Orpic‟s standard operating
procedures and requirements during construction phase.
c) The NGLE and Pipeline will be operated by Oman Gas Company (OGC) and owned by Orpic. All
the investment required for the Project will be made by Orpic. It is assumed for the purposes of this
Report that OGC would adopt Orpic‟s policies, manuals and procedures for the operation of the
NGLE and Pipeline phase.
1.3. Project Description
The LPIC is Orpic‟s latest expansion, and will consist of the following core components:
• An NGL extraction plant in Fahud (NGLE Plant);
• 300 km NGL pipeline between Fahud and SIPA;
• The Petrochemical Complex (PC) consisting of the following
• An 863,000 t/y Steam Cracker Unit (SCU);
• HDPE Plant;
• LLDPE Plant;
• MTBE Plant;
• Polypropylene Plant; and
• Pygas Hydrotreater Unit (PGHYD)
The NGLE Plant at the Fahud Site is the most upstream component of LPIC Project. The NGLE Plant
will recover Ethane and heavier components from rich natural gas by a cryogenic process. Rich natural
gas which is the feed gas will be sourced from both Government Gas Plant (GGP) in Yibal and Central
Processing Plant (CPP) in Saih Rawl.
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NGL (C2+) extracted from proposed the NGLE Plant is to be located near the existing Fahud Compressor
Station (FCS) shall be transported to the PC Complex via a proposed 300 km pipeline in liquid phase. The
proposed pipeline is to be collated within the existing Oman Gas Company‟s (OGC) 32” natural gas
pipeline (right of way (ROW)) from Fahud to Sohar.
The PC proposed in the SIPA will include a nominal 863 kilo tons per annum ethylene cracking plant,
high density polyethylene (HDPE) plant, linear low density polyethylene plant (LLDPE), new
polypropylene plant, methyl tertiary butyl ether (MTBE) plant, Butene-1 plant and associated utility and
offsite facilities. The PC will be integrated with the existing Sohar Refinery, Aromatics Plant and
Polypropylene Plant. NGLs (C2+) extracted at the NGLE Plant forms one of the feedstock for the PC.
Other feed-stocks are mixed LPG produced in the Sohar Refinery and aromatics complex, dry gas
produced in the RFCC unit and new delayed coking unit that is included in the SRIP, and condensate
(light naphtha) imported from OLNG by marine tanker. Some of the materials produced in the PC,
including hydrogen, MTBE, pyrolysis fuel oil and hydro-treated pyrolysis gasoline will be returned to the
Sohar Refinery, Aromatics Plant and existing Polypropylene Plant.
The overall project timeline is summarized in the figure below.
Figure 1: LPIC Project Timeline
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1.4. Project location
The location of each of the three segments of the Project is detailed below.
NGLE Plant
The proposed NGLE is located on about 100 ha of land area within PDO‟s concession area near Block
Valve Station 2 (BVS2) of the Government‟s main gas pipeline. Proximity to the natural gas line is the
main consideration for the selection of this site. The site is located about 56 km east of GGP n Yibal and
about 100 km north of CPP) in Saih Rawl. The site location is shown in Figure 2.
Figure 2: NGLE Plant Location
Pipeline Location
The NGL pipeline begins at the battery limits of Fahud Site and ends at the boundary limits of Sohar Site
covering a total distance of about 300 km. The proposed NGL pipeline will be constructed in parallel to
the existing 32” OGC gas pipeline. An image of the site is shown in Figure 3.
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Figure 3: Proposed Pipeline Route
Petrochemical Complex in SIPA
The proposed project site for PC will be spread on two plots and located adjacent to SRIP in SIPA which
is a dedicated industrial area. The PC will be integrated with the Sohar Refinery, Aromatics complex and
Polypropylene Plant. SIPA is spread on an area of 132 km2 and located on Al Batinah coast about 20 km
north of Sohar and 220 km from Muscat. The site location is shown in Figure 4.
A part of the LPIC is located on the southern boundary of the SIPA while the other is located on the south
eastern end and covers an area of about 100 ha. Plot 1 of the PC will have an interface with the Aromatics
Complex on the eastern side, and the Polypropylene Facility on the northern side and proposed PET/PTA
complex on the western side. Plot 2 is located on the eastern side of the SRIP.
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Figure 4: Proposed Petrochemical Complex
1.5. Project contractual details
Orpic, through a competitive bidding process, awarded the project management company (PMC) contract
to New Delhi, India-based Engineers India Limited (EIL) and the front end engineering design (FEED)
contract to Chicago Bridge and Iron Co (CB&I) which operates out of The Hague, Netherlands.
Benefiting from parallel supply in gas from Fahud and in naphtha from the Sohar Refinery, Orpic and
CB&I have selected a mixed steam cracker to produce ethylene, propylene, by-products and derivatives.
With a capacity of 863 kTA ethylene, this mixed cracker will produce:
• 300,000 t/y of HDPE;
• 500,000 t/y of LLDPE;
• 215,000 t/y of polypropylene;
• 40,000 t/y of MTBE; and
• 45,000 t/y of Butane-1.
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CB&I commissioned HMR Environmental Engineering Consultants (HMR) to conduct the
Environmental Impact Assessment (EIA) study and obtain the preliminary environmental permit from
Ministry of Environment and Climate Affairs (MECA) in order to initiate construction activities. HMR
has also been commissioned to develop this Report outlining the project‟s compliance with the EP and in
particular the IFC PS and associated EHS guidelines as per lender requirements. Since the PC and
pipeline are located in SIPA, the LPIC has to obtain clearance from Sohar Environmental Unit (SEU)
which enforces organizations in SIPA to work in line with Omani laws and regulations. As such, the
Project and EIA development is in accordance with all applicable Omani laws and regulations. The
configuration (design) and operation of the LPIC will take into account the EP, IFC PS and associated
EHS guidelines, in order to address any and all significant environmental and social impacts on account
of the Project.
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Section 2. Equator Principles
Orpic recognizes the environmental and social impact of its operations and continues to take the
necessary measures to ensure protection of the environment and community in which it operates. The EP
serves as a platform for collaboration between Orpic and its project lender, to identify, assess, and
manage environmental and social risks and impacts in a structured format. Orpic believes that such
collaboration supports the triple bottom line approach of their business, and promotes sustainable
environmental and social performance. This section assesses the requirements of the ten EP for each
component of the Project (NGLE Plant, Pipeline and PC).
2.1. EP1: Review and Categorization
The lender‟s environmental and social due diligence is based on the categorization of the Project which in
turn is based on nature, scale and stage of the Project; level of environmental and social risks and impacts.
The Project is large scale with many potential environmental and social risks. Three EIAs have been
completed for each segment of the Project with corresponding social, health, safety and environment
management plans. Given the scale of the project, Category A level analysis has been conducted.
2.2. EP2: Environmental and Social Assessment
The three components of the Project are located at three different locations and hence three EIA studies
have been complemented for each component– EIA for NGLE Plant, EIA for Pipeline and an EIA for the
PC. Each EIA describe measures to minimize, mitigate and offset adverse impacts in a manner relevant
and appropriate to the nature and scale of the Project.
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2.3. The Scope of EIA Document
Table 1 summarizes the environmental and social aspects addressed in the EIA, along with a brief
description of each section.
Table 1 - EIA Contents
S. No Chapter Chapter Name Brief
1 - Glossary and Abbreviations Provides explanation of terms used in report and list of
acronyms and abbreviation used
2 Chapter 0 Executive Summary Provide the summary and a non-technical summary of
EIA report
3 Chapter 1 Introduction Provides introduction and background of the project
with brief methodology
4 Chapter 2 Environmental Regulatory
Framework
Presents the applicable environmental legislative and
institutional requirements
5 Chapter 3 Project Description
Describes the various process units, utilities, project
facilities and activities of the proposed plant. Further,
the construction methodology and resources required
during construction phase are described in this chapter
6 Chapter 4 Environmental Baseline
Describes the baseline environmental status at the
project site and along the pipeline route for pipeline
project
7 Chapter 5 Environmental Releases
Discusses the environmental releases from the plant
construction and operation phases. The handling,
treatment and disposal philosophies proposed for the
releases are also presented in this chapter
8 Chapter 6 Climate Affairs
Identified the type of ODS used in the project and
presents the estimate of emissions of GHG from the
project construction and operation. Further, the
chapter assesses the influence of LPIC on climate
change, and conversely, the vulnerability of the LPIC
plant to changes in climate
9 Chapter 7 Analysis of Alternatives
Analyses the alternatives for the critical processes,
BAT and approaches associated with the project
development, from the environmental view-point
10 Chapter 8 Environmental Impact
Assessment
Identifies and discusses potential impacts on the
environment due to the plant construction and
operation activities;
11 Chapter 9 Environmental Management
Plan
Presents the EMP including control measures for
mitigating significant impacts and an environmental
management system for effective implementation of
the plan
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S. No Chapter Chapter Name Brief
11 Chapter 10 Conclusions Presents the conclusions of the EIA study for the
respective plant
12 - References and Bibliography Provides list of the document and web publications
referred for carrying out EIA
13 - Appendix All data, calculations, basis of calculations and all
other additional information used for EIA studies
Alternative Analysis
The various components of the Project have the potential to emit Green House Gases (GHGs). As part of
MECA requirements, an estimate of GHG emissions during the construction and operation phases of the
Project is included in chapter 6 of each EIA. Based on the emission inventories, GHG quantification and
reporting mechanisms will be elaborated in the ESMP report. The quantification of GHG emissions will
consider both Scope 1 (direct GHG emissions from the facilities owned or controlled within the physical
Project boundary) and Scope 2 (indirect GHG emissions associated with the off-site production of energy
used by the project) emissions. As per the EP, given that the combined Scope 1 and Scope 2 emissions
from the Project is more than 100,000 tonnes of CO2 equivalent annually, an alternatives analysis was
conducted to evaluate less GHG intensive alternatives. The alternative analysis was undertaken and
included in the EIAs to evaluate the technical and financial feasibility and cost-effective options available
to reduce project-related GHG emissions during the design, construction and operation of the Project.
Alternatives for less GHG intensive operations will be undertaken by FEED along with the techno-
commercial feasibility of project technology selection during advanced FEED stage.
Scope of Environmental and Social Management Plan
The ESMP for the various components includes Orpics‟s commitments to address and mitigate risks and
impacts identified as part of the assessment, through avoidance, minimization, and compensation/offset.
The ESMP has been developed considering all the potential impacts identified in the EIA.
Typically, to address the social impacts of large projects, the project must consider rehabilitation and
resettlement (R&R), community development program (CDP), livelihood support plan (LSP) and public
consultation and disclosure plan (PCDP). However, since the Project is being developed within a
dedicated industrial area (SIPA) it will not disturb the livelihood of existing communities and
populations. Therefore for this Project, R&R and LSP are not applicable. The Project plans to positively
contribute to the Omani economy through engagement with local contractors and suppliers and by
providing both direct and indirect employment. Orpic will develop a methodology for stakeholder
consultation and stakeholder engagement program addressing PCDP and CDP.
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2.4. EP3: Applicable Environmental and Social Standards
Oman is a Non-Designated Country per the EP definition. As such, in addition to compliance with Omani
regulations, this report outlines compliance with applicable IFC Performance Standards in Section 2 and
the World Bank Group EHS Guidelines in Section 3.
Orpic has addressed the environmental and social issues for the Project in the EIAs and the ESMP. This
has been conducted in compliance with the most stringent standards of Omani, WB/IFC, and Integrated
Pollution Prevention and Control (IPPC) Best Available Technology (BAT) requirements according to
design philosophy of the Project. The Omani environmental regulations and relevant international
conventions are detailed in Table 2.
2.5. EP4: Environmental and Social Management System and Equator Principles
Action Plan
The EMP includes a section on social management and associated control measures. EMPs for various
components of the Project will provide a description of the ESMS as part of it. The specific issues raised
during the EIA process will be addressed in the reports through ESMP along with an action plan to meet
the compliance requirements of the applicable performance standards.
2.6. EP5: Stakeholder Engagement
Various local Government bodies and organizations have been consulted for stakeholder engagement as
an integral part of the EIA development process.
The main objective of Orpic‟s Corporate Social Responsibility (CSR) framework is to contribute and
support the local development initiatives (social and economic) by implementing sustainable projects that
will contribute to improve the quality of life and well-being of the people in the adjacent communities
where the Project will be operated. This includes engaging with a wide number of stakeholders on regular
basis and focusing on executing CSR projects that are in line with the Government‟s direction and the
society‟s needs and expectations.
Orpic will develop a summary of the EIA document, as required and directed by the Lender, available to
the local communities / person(s) in charge of local communities and other stakeholders in a local
language in a culturally acceptable manner.
2.7. EP6: Grievance Mechanism
Orpic has a grievance procedure included as part of its HSE Process Manual. An outline of these
procedures governing the submission and resolution of grievances will be addressed in the ESMP.
Specifically for the Project Orpic will, as part of ESMP, establish specific grievance redress procedures
for the projects construction and operation phases, which will be designed to receive and facilitate
resolution of concerns and grievances about the project‟s environmental and social performance.
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Emphasis will be given to resolve concerns promptly, using an understandable and transparent
consultative process that is culturally appropriate, readily accessible, at no cost and without retribution to
the party that originated the issue or concern. The mechanism would not impede access to judicial or
administrative remedies. Orpic will inform the local communities about the mechanism in the course of
the Stakeholder Engagement process. As the Project progresses, the methodology for the grievance
mechanism will be established and included and will be a part of ESMP.
2.8. EP7: Independent Review
Orpic has appointed HMR as an independent consultant for the Project to prepare environmental impact
assessment documentation which includes EIAs EMP, and an ERP. Depending on the nature of finance
and project categorization, the Lender will, at a later stage, carry out an independent review of the
assessment documentation including the EIAs, ESMPs, the ESMS, and the stakeholder engagement
process documentation in order to assist the Lender‟s due diligence, and assess compliance to EP.
2.9. EP8: Covenants
Orpic will covenant in its financing documentation as detailed below:
To comply with all relevant host country environmental and social laws, regulations and permits
in all material respects;
To comply with the ESMPs and Equator Principles Action Plan during the construction and
operation of the project in all material respects; and
To provide periodic reports in a format agreed with the EPFI (with the frequency of these reports
proportionate to the severity of impacts, or as required by law, but not less than annually),
prepared by in-house staff or third party experts.
Host Country Environmental Regulatory Framework
The Omani laws on environmental protection, control and management are covered under two basic laws,
viz., the “Law for the Conservation of the Environment and the Prevention of Pollution” promulgated in
November 2001 as RD 114/2001 (superseding RD 10/82 and its amendments) and the “Law on Protection
of Potable Water Sources from Pollution” promulgated as RD 115/2001. These laws provide the
framework for all other laws and regulations concerning environmental conservation and water resources
protection. The responsibility for the implementation of these laws rests with MECA, which issues
regulations, standards and guidelines through Ministerial Decisions (MD); and within MECA, the
authority responsible for environmental permitting, inspection and control is the Directorate General of
Climate Affairs (DGEA).
Sohar Environmental Unit (SEU) is a department that is part of MECA which ensures that all the tenants
of Sohar Port and Freezone are working in line with Omani regulation. Further SEU has issued guidance
notes providing specific requirements for a variety of environment topics during the project life cycle.
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As per SEU requirement, a separate report will document the ESMP for the Pipeline and PC, and
compliance with the provisions of ESMP and SEU/MECA requirements will be met by undertaking
monthly/quarterly environmental monitoring and reporting to SEU/MECA after award of the preliminary
environmental permit (PEP). Periodic reports in a format specified by EPFI will be finalized between
Orpic and the lender for reporting requirements.
The current Omani environmental laws, regulations and SEU guidance notes, applicable to the various
components of the LPIC, are listed in Table 2.
Table 2 - Omani Environmental Laws and Regulations
Reference No Description Applicability to Project Activity
Environmental Law
RD 6/80 Law of Protection of the National Heritage Protection and conservation of cultural or
heritage sites in the project area
RD 46/95 Law on handling and use of chemicals Use of hazardous chemicals during construction
and operation phases
RD 73/1998
Law approving the Ratification by Sultanate
of Oman to Vienna Convention for the
Protection of Ozone Layer and Montreal
Protocol concerning ODS
Guiding law for the protection of ozone layer and
control and management of Ozone Depleting
Substances (ODS)
RD 29/2000 Issuing the Law of Water Resources
Conservation Guiding law on sustainable use of water resource
RD 114/2001 Law for Conservation of the Environment
and Prevention of Pollution
Guiding law on pollution prevention and natural
resource conservation
RD 115/2001 Law on Protection of Sources of Potable
Water from Pollution
Guiding law on preventing pollution of ground
water resources
RD 6/2003 Law on Nature Reserves and Wildlife
Conservation
Guiding law on protecting wildlife and habitat in
the vicinity of the project site
Environmental Regulations
MD 20/90 Regulations on Coastal Setbacks Regulations on protection of Coastal areas
MD 79/94 Regulations for noise pollution in public
environment Public noise control
MD 80/94 Regulations for noise pollution in the
working environment Workplace noise control
MD 248/97 Issuing the regulation for registration of
hazardous chemical substances and the
relevant permits
Chemicals management during construction and
operation phases and registration of chemicals
used
MD 421/98 Regulations for Septic Tanks, Soak away
Pits and Holding Tanks
Regulates construction of holding tanks, septic
tanks and soak away pits
MD 169/2000 Regulations on cutting of trees Regulation on protection of trees within the
project influence area
MD 264/2000 Regulations for Water abstraction from bore
wells
Construction of bore well to abstract water for
commercial project purposes
MD 317/2001
Issuance of the regulations for packaging
and binding conditions/stipulations and
putting information and labels on the
hazardous chemical substances
Hazardous chemicals management during
construction and operational phases of the project
MD 187/2001 Issuing regulations for organizing obtaining
environmental approvals and final
Regulates the procedure for obtaining
environmental permits
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Reference No Description Applicability to Project Activity
environmental permit
MD 55/2002 Regulations for wastewater re use and
discharge
Prohibits discharge of untreated wastewater to the
environment and regulates wastewater treatment
MD 56/2002 Regulations for the management of
hazardous wastes
Handling, storage and disposal of hazardous
wastes generated from the project activities
MD 57/2002 Regulations for the management of the solid
non-hazardous wastes
Handling, storage and disposal of non-hazardous
wastes from the project activities
MD 71/2002 Amending some provisions of MD
187/2001 Organize licenses and municipal fees
MD 101/2002 Prohibition of killing, hunting, or capturing
of wild animals and birds Regulation on protection of wildlife
MD 281/2003 Regulations for control and management of
radioactive substances Management of radioactive substances
MD 68/2004 Amending some provisions of MD
187/2001
Regulates the procedure for obtaining
environmental permits
MD 118/2004 Regulations on controlling Air Pollutants
emanating from Stationary Sources
Regulates installation and operation of stationary
combustion sources
MD 159/2005 Regulation for the discharge of liquid
effluents into the marine environment
Discharge of cooling water and other treated
effluents into common seawater outfall channel
MD 243/2005 Regulations for the control and management
of ODS Prohibits the use of ODS
MD 286/2008 Regulations for Occupational Health and
Industrial Safety Precautions Occupational health and safety of employees
MD 25/2009 Regulations for Organization of Handling
and Use of Chemicals Chemical management during project activities
MD 18/2012 Regulation for Management of Climate
Affairs
Regulation for obtaining climate affairs license
from DGCA for discharge of GHG emissions
OS 8/2012 Omani standard for drinking water (Issued
by the Directorate General of Specifications
and Measures, MoCI)
Potable groundwater quality standards
MD 25/2013 Regulation issued by Ministry of housing on
relocation of people in Liwa Project activities in SIPA
Omani (Provisional)
Ambient Air
Quality Standards
Provisional Omani standards for ambient air
quality Ambient air quality in the project area
Climate Affairs
Guidelines
Guidelines on estimation and reporting of
greenhouse gases (GHG) and ozone
depleting substances (ODS) from project
construction and operation phases, the
information to be provided towards
evaluation of the influence of project
activities on climate change, impacts of
climate change on projects and the climate
change adaptation and mitigation measures
implemented by projects
Estimation, reporting and control of GHG,
energy consumption, etc., during the proposed
plants construction and operation phases,
mitigation measures for reducing the project‟s
influence of climate change and minimizing
vulnerability of the project to consequences of
climate change
SEU Guidance Note
REP-123-10-DJ
October 2010 Waste management
Details the waste management at Sohar Industrial
Port and Sohar Free Zone
REP-114-10-DJ
November 2010
Non-hazardous industrial Waste Storage at
Sohar
Procedures of disposing non-hazardous, non-
dusty and non-recyclable industrial waste at
Sohar Site (at Sohar Municipality landfill).
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Reference No Description Applicability to Project Activity
REP-083-10-DJ
April 2010 Hazardous waste storage at Liwa
Procedures of storing hazardous waste at Al
Batinah Temporary Hazardous
Waste Facility (Liwa Site).
REP-115-10-DJ
January 2011 Chemical Substances
Guidance note on import, export, using, handling
and storage at SIPA and SFZ
REP-159-11-RMO
February 2011 Industrial Safety
Guidance note for industrial safety for the Sohar
Industrial Port and Sohar Free Zone
RFP-147-11-DJ,
January 2011 Requirements for EIA
Details the requirements for EIA, ER, IPPC and
Seveso II
RFP-230-12-MJ,
Jan 2012 Onsite Storage of Industrial Waste
Guidance note for industries for on-site storage
industrial waste when there is no off-site solution
REP-225-11-DJ
April 2012 Water management
Note for efficient water management system at
Sohar Industrial Port and Sohar Free Zone
REP-211-11-DJ
September 2011 Flaring Guidance Note on regulation of flaring
REP-331-13-WP Incident Reporting to SEU Reporting procedure for planned & unplanned,
not-normal operational conditions (incidents,
accidents and near incidents) to SEU.
REP-123-10-DJ
October 2010 Waste management
Details the waste management at Sohar Industrial
Port and Sohar Free Zone
International Conventions Signed by Oman
Oman is a signatory of various international conventions related to environmental protection. In addition
to the host country environmental regulatory framework, Orpic will also consider the obligations under
the International Treaties signed by Oman which are described in Table 3.
Table 3: International Conventions signed by Oman applicable to the project
Convention Description
Protocol for the protection of the marine environment against pollution from land-based sources
To take all appropriate measures to prevent, abate and combat pollution by discharges from land reaching the sea area whether water-borne, air-borne, or directly from the coast including outfalls and pipelines
Basel convention on the control of trans boundary movements of hazardous wastes and their disposal
To reduce the movements of hazardous waste between nations and specifically to prevent transfer of hazardous waste from developed to less developed countries (LDCs).
United Nations Framework Convention on Climate Change (UNFCCC)
Concerned with controlling and stabilizing greenhouse gas concentrations in the atmosphere at a level that would prevent dangerous anthropogenic interference with the climate system
Convention on Biological Diversity Concerned with conservation of biological diversity, sustainable use of its components, and fair and equitable sharing of benefits arising from genetic resources
United Nations convention to combat desertification in those countries experiencing serious drought and/or
Convention to combat desertification and mitigate the effects of drought through national action programs that incorporate long-term strategies supported by international
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Convention Description
desertification, particularly in Africa, 1994
cooperation and partnership arrangements
Vienna convention on the protection of the ozone layer, 1985
Acts as a framework for the international efforts to protect the ozone layer
Montreal protocol on substances that deplete the ozone layer, 1987.
Is a protocol to the Vienna Convention for the Protection of the ozone layer is an international treaty designed to protect the ozone layer by phasing out the production of numerous substances believed to be responsible for ozone depletion.
United Nations Framework Convention on Climate Change (UFCCC) (1992), including Kyoto Protocol (2005)
An international agreement on the reduction of greenhouse gas emissions and on mechanisms aimed at cutting the costs of reducing emissions, in order to address possible changes in the climate
Convention on the law of the non-navigational uses of international watercourses, 1997.
Adopted by the United Nations on May 21, 1997 pertaining to the uses and conservation of all waters that cross international boundaries, including both surface and groundwater
Convention on the prior informed consent procedure for certain hazardous chemicals and pesticides in international trade
It is a multilateral treaty to promote shared responsibilities in relation to importation of hazardous chemicals. The convention promotes open exchange of information and calls on exporters of hazardous chemicals to use proper labeling, include directions on safe handling, and inform purchasers of any known restrictions or bans
International Labor Organization
It is specialized agency of the United Nations to promote rights at work, encourage decent employment opportunities, enhance social protection and strengthen dialogue on work-related issues
Orpic also refers to international environmental guidelines and standards for the Project, including:
IPPC Best Available Techniques Reference Documents (B-REF);
United States Environmental Protection Agency (USEPA) standards; and
Good International Industry Practice (GIIP).
2.10. EP9: Independent Monitoring and Reporting
Orpic has appointed a consultant to independently review this document and assess the Project
compliance with the Equator Principles. Orpic will appoint an Independent Environmental and Social
Consultant to ensure ongoing monitoring and reporting after financial close and over the life of the loan.
Furthermore, Orpic will retain qualified and experienced external experts to verify the monitoring
information to be shared with the Lender.
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2.11. EP10: Reporting and Transparency
Orpic will ensure that, at a minimum, a summary of the EIA and ESMP is accessible and available online
to maintain transparency of its operations to the community and other relevant stakeholders. As detailed
in Chapter 6 of the EIA, the total GHG emissions per annum exceed 100,000 tons of CO2 equivalents.
Therefore, Orpic will report GHG emission levels during the operational phase.
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Section 3. IFC Performance Standards
Orpic is committed to operating in a sustainable way and has therefore assessed compliance with the IFC
performance standards. This also ensures compliance with EP3 for non-designated countries. The
performance standards provide guidance on how to identify and help avoid, mitigate and manage
environmental and social risks and impacts. In addition to these standards, the Project ensures compliance
with host county (Omani) national law and associated international covenants (as summarized in 2.9).
Below is a summary of compliance with the eight standards. A detailed assessment of each performance
standard is included in Table 4 with the appropriate references found in appendices A to E applicable for
all three project phases and segments: NGLE Facility, NGL Pipeline and the Petrochemical Complex.
Orpic is committed to sustainability and has a corporate sustainability framework applied across all
projects and operations. Orpic‟s latest sustainability report was published in 2012 and has committed to
releasing reports every two years. The report has been developed in accordance with the international best
practice Global Reporting Initiative (GRI) guidelines. Orpic‟s sustainability framework is based on four
core principles, for which five key performance indicators (KPIs) have been selected to monitor corporate
progress. Significant time and effort has been invested to define these KPIs as they will provide the
blueprint of Orpic‟s future developments: serving as a powerful decision-making tool and support
mechanism to guide Orpic‟s performance across all areas of the business. These four core principles and
corresponding KPIs are summarized below and detailed in the sustainability report.
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Furthermore, Orpic commissioned a third party management consultant and strategy company to conduct
a socio-economic1 study analyzing the social and economic impacts of LPIC. The purpose of this study is
to highlight the role of Orpic and LPIC in meeting the current socio-economic priorities of Oman. More
specifically, the study aims at:
• Reviewing Oman‟s socio-economic profile and identifying key priorities
• Assessing the socio-economic impact of Orpic and LPIC
• Comparing LPIC‟s socio-economic contribution to alternative crude oil / gas investments
Overall, the LPIC project is expected to further enhance the socio-economic impact of Orpic from the
perspective of revenue growth, employment generation, and capability developmet (refer to chart
below).
1 Findings and charts from the report to Orpic from consultant: Strategy& (Draft Report May 2015)
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Orpic‟s integrated refining and petrochemical operations is critical to Oman‟s downstream development.
Furthermore, there are positive social contributions such as skills development through training,
employment generation, local business opportunities and other social investments. Contracts are required
to have 30% Omani workforce. The skill development programs are highlighted below.
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Orpic and the LPIC are undertaking other initiatives to address critical sustainability elements such as
Omanization, local supply base development, and environmental impact management. These initiatives
are summarized in the chart below.
The overarching socio-economic impact assessment for Orpic and the LPIC (below referred as LPIC
(Liwa Plastics Industries Complex) is summarized in the chart below.
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1. PS 1: Assessment and Management of Environmental and Social Risks and Impacts
The EIA report includes an environment and social management system (ESMS) as part of the
environment and social management plan (ESMP) which details the Project‟s approach to managing
environmental and social risks. A summary of the net impacts during construction and operation phase of
Petrochemical Complex, Pipeline and NGLE plant with their significance is presented in the tables below.
It is to be noted that there are no impacts that are rated as high which would have required alternatives to
be developed for activities leading to such impacts. Proposals for mitigating the impacts rated as
„Medium‟ are described in a separate respective EIA report (as included in appendix A).
Table 4: Impacts during the Construction & Operation Phase (Petrochemical Complex)
Issue Severity Duration Likelihood Impact Rating
Consumption of construction materials Minor Medium Term - Low
Impact on Natural Resources Minor Medium Term - Low
Impacts on topography and landscape Slight Long Term - Low
Ambient Air Quality Minor Medium Term - Low
Ambient Noise Minor Medium Term - Low
Workplace noise Moderate Medium Term - Medium
Impact on terrestrial ecology Slight Very Long Term - Low
Impacts on soil and groundwater from
normal waste management Moderate Short Term - Low
Impact on soil and groundwater due to
accidental releases Moderate - Unlikely Low
Local purchase of goods Positive Medium Term - +
Hiring of local people Positive Medium Term - +
Stress on infrastructure Slight Medium Term - Low
Impact on land use Slight Long Term - Low
Impact on settlements from construction
associated activities Slight Medium Term - Low
Impact on settlements from accidental
releases / abnormal operation Moderate - Unlikely Low
Traffic congestion / accidents Moderate - Likely Medium
Accidental Damage to sensitive sites Major - Very Unlikely Low
Operation Phase
Stress on power supply Slight Long Term - Low
Stress on fuel supply-demand Slight Long Term - Low
Stress on water supply-demand Moderate Long Term - Medium
Impact on topography and landscape Slight Long Term - Low
Air Quality Moderate Long term - Medium
Greenhouse gas emission Moderate Long-term
- Medium
Gaseous Pollutants Moderate Long-term
- Medium
Damage to flora and fauna Slight Long Term - Low
Loss of habitat Slight Long Term - Low
Accidental damage to ecology and
wildlife Moderate - Very Unlikely Low
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Issue Severity Duration Likelihood Impact Rating
Impact on soil and groundwater from
normal wastewater and waste management
Moderate Long Term - Medium
Impact on soil and groundwater from
improper handling and disposal of waste and wastewater
Moderate - Unlikely Low
Impact from loss of employment during
transition from construction to operation phase
Slight Long Term - Low
Impact on economy through generation of
business and operation phase employment opportunities
Positive Long Term - ++
Impact on land use Slight Long Term - Low
Impact on health and safety of
settlements from accidental releases Major - Very Unlikely Low
Table 5: Impacts during the Construction & Operation Phase (NGLE)
Issue Severity Duration Likelihood Impact Rating
Consumption of construction materials Minor Medium Term - Low
Impact on Natural Resources Minor Medium Term - Low
Impacts on topography and landscape Slight Long Term - Low
Ambient Air Quality Moderate Medium Term - Medium
Ambient Noise Minor Medium Term - Low
Workplace noise Moderate Medium Term - Medium
Impact on terrestrial ecology Slight Very Long Term - Low
Impacts on soil and groundwater from
normal waste management Moderate Short Term - Low
Impact on soil and groundwater due to
accidental releases Moderate - Likely Medium
Local purchase of goods Positive Medium Term - +
Hiring of local people Positive Medium Term - +
Stress on infrastructure Slight Medium Term - Low
Impact on land use Slight Long Term - Low
Impact on settlements from construction
associated activities Slight Medium Term - Low
Impact on settlements from accidental
releases / abnormal operation Moderate - Unlikely Low
Traffic congestion / accidents Moderate - Likely Medium
Impacts on archaeology and heritage Slight - Very Unlikely Low
Accidental Damage to sensitive sites Major - Very Unlikely Low
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Operation Phase
Stress on power supply Slight Long Term - Low
Stress on fuel supply-demand Slight Long Term - Low
Stress on water supply-demand Moderate Long Term - Medium
Impact on topography and landscape Slight Long Term - Low
Air Quality Moderate Long term - Medium
Greenhouse gas emission Moderate Long-term - Medium
Gaseous Pollutants Moderate Long-term - Medium
Noise Slight Long Term - Low
Damage to flora and fauna Slight Long Term - Low
Loss of habitat Slight Long Term - Low
Accidental damage to ecology and
wildlife Moderate - Very Unlikely Low
Impact on soil and groundwater from
normal wastewater and waste
management
Moderate Long Term - Medium
Impact on soil and groundwater from
improper handling and disposal of waste
and wastewater
Moderate - Unlikely Low
Impact from loss of employment during
transition from construction to operation
phase
Slight Long Term - Low
Impact on economy through generation of
business and operation phase employment
opportunities
Positive Long Term - ++
Impact on land use Slight Long Term - Low
Table 6: Impacts during the Construction & Operation Phase (Pipeline)
Impact Severity Duration Likelihood Impact Rating
Fuel supply and demand Slight Medium Term - Low
Offsite groundwater supply Minor - Likely Low
Impacts on ambient air quality Moderate Medium Term - Medium
Impacts on noise level Moderate Medium Term - Medium
Impacts to soil and groundwater
due to normal management of
wastes
Minor Medium Term - Low
Impacts to soil and groundwater
due to accidental release Major - Unlikely Medium
Impact on the flora and fauna
along the pipeline route Moderate Medium Term - Medium
Impact on land use Slight Long Term - Low
Impact on settlements due to Minor Medium Term - Low
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Impact Severity Duration Likelihood Impact Rating
construction activities
Impact on settlements due to
accidental releases Major - Unlikely Medium
Impact on existing traffic density
and safety Localised - Likely Medium
Stress on infrastructure Localised Medium Term - Medium
Local purchase of goods Positive Medium Term - +
Hiring of local people Positive Medium Term - +
Accidental Damage to sensitive
sites Major - Very Unlikely Low
Cultural Conflict Localised - Unlikely Low
Operation Phase
The only activity during the operational phase of the pipeline network is transport of NGL fuel. The operation
of the pipeline will be unmanned. Periodic maintenance will be carried out by a team of 3-5 personnel. This
will be intermittent and for short duration, and is unlikely to result in generation of any significant amount of
waste or wastewater. Pigging activities will be carried out once in six months and is likely to generate
hazardous waste. The hazardous waste generated will be handled as per MD 18/93 and the collected waste
shall be disposed of in dedicated hazardous waste storage site. Operation of the pipeline will not require any
natural resource except for refined petroleum products to be used as fuel in the pumps/BVS and for the
inspection and maintenance vehicles. Hence the impact on natural resources is also minimal.
Indirect and Cumulative Impacts
IFC PS1 requires the identification of incremental impacts on areas or resources used or directly impacted
by the project, from other exiting, planned or reasonably defined development at the same time the risks
and impacts identification process is conducted. At present, only cumulative impacts of atmospheric
emissions have been assessed. Orpic plans to conduct a full cumulative impact assessment by Q1 2016
(March). The following types of impacts will be assessed for the project; subsequent section provides
brief definition of each type of Impact:
Indirect
Cumulative Impacts
Impact Interactions
Indirect Impacts
Impacts on the environment, which are not a direct result of the project, often produced away from or as a
result of a complex pathway. Sometimes it is referred to as second or third level impacts, or secondary
impacts.
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Cumulative Impacts
Cumulative impacts are those that result from the incremental impact of the project when added to other existing, planned and reasonably predictable future projects and developments within SIPA Area
Impact Interactions:
The reactions of impacts due to impacts caused by just one project or reaction of impacts between other
projects in the areas.
The environmental and social impact assessments provided in the EIA has broadly captured majority of
the EHS and Social impacts associated with the Project as well as associated components (based on
available information) during the construction, operation and decommissioning phases of the Project. It is
not practical to analyze the cumulative effects of an action on every environmental receptor, the list of
environmental effects must focus on those that are truly meaningful for cumulative effects analysis to
help the decision-maker and inform interested parties, it must be limited to effects that can be evaluated
meaningfully. Key impacts identified due to the Project are:
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a) Impact on air quality
b) Impact due to Noise
c) Traffic induced impacts
d) Impact on Marine Quality
e) Impact due to waste generation (including Hazardous and Non-Hazardous waste)
f) Impacts on wastewater generation
g) Social-economic impacts
For the industrial operations, as part of the permitting process, LPIC has developed an Environmental
Impact Assessment (EIA) study, which considers the impacts related to the planning, implementation and
operation of the project. However, the EIA did not identify the cumulative impacts from other existing,
planned or reasonably defined developments except atmospheric emissions (includes Air impacts and
Impacts from GHG emissions).
Furthermore, impacts due to off-site infrastructure (i.e. gas pipeline, NGLE plant, utilities) were also
assessed as part of the EIA study based on the available information of these components, as gas pipeline
and NGLE facility. The EIA document has provided an Environmental and Social Management and
Monitoring Plan (ESMMP) for the Project, covering pre-construction, construction, operation and
decommissioning phases of the Project.
Regarding the construction stage and operation phase of all three components of LPIC project, Orpic has
established a program to reduce fugitive emissions related to re-suspension of particulates resulting from
vehicles traffic and wind action. For operation phase of the project a robust EMP and mitigation measures
has been suggested. Simulation for air dispersion modeling has been carried out and predicted Ground
Level Concentration (GLC) was added to existing ambient air concentration to predict cumulative impact
on SIPA air shed.
It is to be noted that indirect and cumulative impact assessment for other environmental component
(Noise, Traffic, Marine, waste, wastewater and socio-economic) will be assessed and will be provided to
EPFI for review in March 2016, at EPC stage of the project.
Events which are beyond Orpic‟s control will also be mentioned as part of the ESMS. Orpic will engage
other stakeholders and the controlling authority (SEU/MECA – SEU for PC and Pipeline) to identify their
roles and responsibilities towards mitigating risks and to achieve compliance with this standard. The
elements of ESMS will be developed by Orpic and will follow the framework outlined in this
performance standard.
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Stakeholder Engagement
The below image summarizes the engagement with key stakeholder groups at Orpic corporate level.
Additional details are provided in the sustainability report. Furthermore, a specific community
engagement plan has been developed for LPIC and is described further in table 4 and supplemental
attachments (Appendix F: LPIC Communications Plan and Appendix G: Stakeholder Engagement
matrix).
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The snapshot of additional stakeholders engaged specifically for the LPIC project is summarized in table
7.
Table 7: LPIC Stakeholder Engagement Matrix
Stakeholder Message Channel Frequency
Orpic Board - Status update of Orpic performance and Projects progress - Briefings for required approvals
- Board meetings - Monthly MIS
- As required, at least monthly
OOC Board of
Directors
- Status update of Orpic performance and Projects progress
- Written status reports
- Quarterly
Ministry of Oil and
Gas
- Status update of Orpic performance and Projects progress - Briefings for required approvals
- One-on-one meetings with the minister - Written status reports
- As required, at least monthly
Ministry of Finance - Status update of Orpic performance and Projects progress - Briefings for required approvals
- One-on-one meetings with the undersecretary - Written status reports
- As required, at least monthly
Ministry of Manpower - Status with a focus on labor issues
- One-on-one meetings with HE and the undersecretary - Written status reports
- Based on announcements of major changes, roughly quarterly
Ministry of Environment and
Climate Affairs
- High-level status update of Orpic with a focus on environment issues - Progress in improving environmental protection
- One-on-one meetings - Status reports
- Based on announcements of major changes, roughly every 3 months or as required
Governor of North Al
Batinah
- Progress in improving environmental Protection - Update on new projects progress - Progress in community involvement - Employment opportunities - Prior to any Instance where may be perceived suspiciously by community i.e. heavy smoke, flaring.
- One-on-one meetings
- Based on announcements of major changes, quarterly or as required
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A dedicated communications plan for LPIC has been developed (Appendix F) to ensure continuous
engagement throughout all phases of the project with relevant stakeholder groups. The communication
plan assessed the current situation with the country and project location and summarized the expected
value creation of the project (Figure below).
Figure 5: LPIC Value Creation
The project‟s physical hub centers on the existing Orpic facility in the Sohar Industrial Port Area (SIPC).
Communities surrounding the project are summarized below and detailed within the subsequent sections
discussing each project segment.
Direct influence area (SIPC): There are 11 villages surrounding Sohar Industrial Port Area:
Majees, Falaj Al Qabail, Al Khuwariya, Gadfar, Alguzail, Al Had, Auqdat Al Mawain, Helat
Alshek, Mukailead, Helat Alhesan and Harmoon.
Direct (NGLE and Pipeline): Fahud, Ibri and Buraimi.
Indirect Impact: Wilayat of Shinas and Saham.
Walis of Sohar, Liwa
and Shinas
- Progress in improving environmental Protection - Update on new projects progress - Progress in community involvement - Employment opportunities - Prior to any Instance where may be perceived suspiciously by community i.e. heavy smoke, flaring.)
- One-on-one meetings
- Based on announcements of major changes, Every 2 months or as required
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The LPIC Communication Plan is summarized below.
Figure 6: LPIC Communication Plan
Social programs and aspects were discussed in the Environmental Impact Assessment reports for each
phase of the project. Furthermore, detailed Environmental Management Plans have been prepared for the
project, which includes social elements. A cumulative impact assessment of the project is planned for Q1
2016, wherein a fully detailed social impact assessment will be undertaken. Each segment of the project
(NGLE, Pipeline and Petrochemical Plant) is situated in designated industrial areas with other industries
previously operational. The Petrochemical Plant, although within the Sohar Industrial Area, has villages
within the 5KM buffer and therefore has the most social impact (as opposed to the pipeline and NGLE).
The social programs, impacts and plans are summarized for each segment of the project below.
Petrochemical Plant
The project site is located within SIPA, an area designated for industrial development. However, the
current socio-economic condition near the project influence area (about 5km radius from both the
polymer area and the steam cracker unit) has been established based on published documents and
previous studies conducted in the area. The project site falls under the North Al Batinah Governorate,
which lies between Khatmat Malahah in the North and Al Musanaah in the South and confined between
the Al Hajar Mountains to the West and the Gulf of Oman to the East. It is located within SIPA, which
comes under the Wilayat Liwa and characterized under industrial land use. There are 10 villages lying
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within a 5km radius of the project site. Out of these 10 villages, 7 come under the Wilayat of Liwa and 3
are part of Wilayat of Sohar. Analysis of all aspects of the socio-economic profile was carried out at the
micro level entailing these individual villages as well as the PIA as a whole.
With regards to connectivity, The Muscat - Batinah highway serves as the main linkage for the project
influence area. Running parallel to the main highway is the service road, which seizes the local traffic
spills, reduces pressure on the main highway and facilitates movement between villages. However,
connectivity at village level is by means of internal or primary roads which traverse and connect each
village. A coastal highway is also being constructed between SIPA and the existing Batinah highway
(figure below) which would increase connectivity between SIPA and other regions of Batinah and Muscat
Governorates. Other major transport infrastructure are under development including the rail link (which
would connect the United Arab Emirates (UAE) and Gulf Cooperation Council (GCC) countries
eventually), in the Batinah region.
Figure 7: Villages within Study Area
The social impacts of the project during construction and operation have been assessed and management
programs are planned to mitigate and manage these impacts. The plant is located in a designated
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industrial zone with access strictly limited and restricted to construction employees. The following
management elements will be enforced during construction:
Planning
Site HSE plans shall be prepared and followed;
Prepare a traffic management plan;
Proper signage to be installed. Information pertaining to construction activities shall be displayed;
Local population should be made aware of the construction works, as appropriate;
Fire extinguishers and fire safety measures should be made available throughout the work site;
Basic health and medical facilities shall be provided to the construction workers;
Training and awareness programs shall be given to the construction workers;
Emergency response plan to be prepared covering accidental releases, and fire and explosion
events; and
Appropriate PPE shall be given to the construction workers.
Control Measures
Importance shall be given on the usage of PPEs, hygienic conditions at construction sites and
camp accommodation;
First aid to be made available at project site;
Staff working at the site will be made aware of emergency response procedures;
The working hours are to be confined to daytime only. No night work will be carried out unless
an emergency warrants;
Approved transporters will be used for transportation of hazardous materials and heavy
equipment / goods;
Continuous noise emitting sources such as compressors and diesel generator units should be
installed in enclosed rooms; and
The vehicles will be properly serviced and maintained in order to ensure safe travel. Further, first
aid kits are to be provided in all the vehicles.
Monitoring
Periodic safety audits to be conducted to assess implementation of the control measures and
results of audits to be reviewed and corrective actions to be taken for deviations.
Vehicle logs to be maintained, monitoring the movement and distance travelled by the vehicles;
and
Journey management plan copies to be documented and monitored.
The social management practices (in addition to environment, health and safety management system) of
Orpic and the EPC contractors will include systems for scheduling, organizing and conducting periodic
audits/VMC of the implementation during the construction phase. The audits are to be scheduled in such a
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way as to cover all significant activities of the construction in order to assess the implementation of
control measures proposed in this EMP, including environmental monitoring programs and in turn to
assess compliance with applicable environmental regulations. The findings and recommendations of
periodic audits and related monitoring along with recommendations for corrective actions and
improvements are to be periodically reviewed by EPC contractor/Orpic. Adequate resources are to be
provided by Orpic/EPC contractor and sub-contractors for implementation of such recommendations and
corrective actions for improving the effectiveness of the social, heath, safety and environment
management system.
The detailed organizational structure will be developed prior to appointment of the EPC. The project
manager will be responsible for the implementation and effective management of the social, health, safety
and environment management system. The HSE manager will be responsible for the routine plant HSE
management and for coordination of HSE functions within the line functions. The community liason
officer will be responsible for all social aspects of the project including stakeholder engagement,
grievance management, and periodic updates of social programs. All line managers will be required to
implement and ensure compliance with HSE and social requirements within their functional areas. The
HSE manager, with assistance from an external consultant if required, will be responsible for developing
facility wide plans for monitoring and improving HSE and social performance.
After completion of construction activities and as the plant is ready for start-up and commissioning, the
relevant permits, documents and records will be transferred to Orpic‟s HSE team by the EPC contractor.
It will be the responsibility of Orpic‟s HSE department to take over the HSE requirements and incorporate
the same into the company‟s management system for the operation phase
The project will be required to comply with the applicable environmental laws and regulations applicable
to industrial projects in Oman. Orpic will be responsible for obtaining the requisite permits for the
operation phase of the facility from MECA and other relevant authorities (EPC contractor is responsible
to prepare all documents and forms of permit applications). These permits primarily include and are not
limited to the following:
Final Environmental Permit (FEP) for the operation of the PC plant and associated facilities
within SIPA;
Permit to operate stationary point sources within the plant;
Wastewater discharge permit, if any;
Hazardous waste permit; and
Chemicals permit.
Any planned changes from the normal operating conditions of the facility that may potentially lead to
significant increase in various environmental releases for a considerable duration is to be communicated
to the Ministry along with predicted quantification of changes.
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NGL Pipeline
The NGL pipeline is a 14” carbon steel line with 11 block valve stations (BVS) located 32km apart from
each other in remote areas and 16 to 7 km apart in more populated areas. NGL will be transported to the
Petrochemical Complex through the pipeline in liquid phase. The pipeline corridor follows the same route
as Oman Gas Company‟s (OGC) 32” natural gas pipeline from Fahud to Sohar. The NGL pipeline will
run from the NGLE Plant to Sohar Refinery with a total distance of 300km. The proposed NGL pipeline
route will be located within the existing OGC pipeline corridor.
Based on the terrain features, the entire area covered by both the pipeline routes are broadly classified into
four distrinc regions as identified by the International Union for the Conservation of Nature and Natural
Resources surveys of Oman: Central Plans, Northern Foothills and Plans, Northern Mountains, and Al
Batinah Region.
Central Plains
Fahud lies on the central plains of Oman, an area that is recorded as covering 57,658km2. The area in the
vicinity of the pipeline route is sub-classified as central sand and gravel plains (IUCN, 1986). The plains
are recorded as being extensively broad with occasional rocky ridges and shallow, flat internal drainage
depressions.
Human settlement within the central plains is limited to very few localities. In proximity to the southern
end of the Fahud to Sohar pipeline any settlement is likely to be temporary only and associated with
nomadic Bedouin livestock grazing camps. Human population, other than that associated with oil and gas
production, is recorded as being <0.2persons per km2, although this is considered not to be reflective of
the study area which is closer to zero. There are no areas of cultivation within the region of the central
plains across which the pipelines will cross. The temporary and permanent camps of PDO and their
contractors are the only significant centres of settlement, which for the purposes of this study due to their
wholly commercial interests, are not considered further.
Northern Foothills and Plains
Settlements across the northern plains are scattered. Along the alignment of the Fahud to Sohar pipeline
route, human settlements are near non-existent with only one seasonal settlement present and elsewhere
occasional temporary grazing camps. Across the plains, there are only very occasionally areas of
cultivation, and these are associated with more permanent settlements distant from the pipeline corridor
and in closer proximity to the main Buraimi to Nizwa highway. Other than the oil and gas production
areas, which include Fahud, Yibal, and Lekhwair, the main socio-economic activities of the northern
plains are extensive pastoralism.
Northern Mountains
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Human settlements along the alignment of the pipeline route in this section of the Hajar Mountains are
scattered and largely insignificant. More significant centres exist adjacent to Wadi Jizi, along which the
Buraimi-to-Sohar highway has been constructed. Settlements adjacent to the pipeline tend to consist of
single or small clusters of dwellings that do not exceed the carrying capacity of the land for date
plantations etc. i.e. single families only.
Al Batinah Region
The Batinah Coastal Plain is a low-lying alluvial plain extending approximately 270 km from Muscat to
border with U.A.E, North of Shinas, and extending approximately 30km inland from the coast. The area
is of critical importance to the agricultural economy of the Sultanate accounting for up to 60% of all the
agricultural products in the Sultanate (Al-Zidjali, 1995; Al Harthi, 2003). Before modern well drilling and
mechanical pumping equipment, agricultural areas were limited to a belt of few kilometers wide.
Agriculture has expanded on both sides of the Batinah Coastal Highway since the advent of the new
technology and continues to do so. Increased pumping of groundwater for irrigation has lowered the
groundwater levels and resulted in seawater intrusion with resulting deterioration of water quality. Present
conditions described in MRMEWR (formerly MWR) data indicates that freshwater discharge to the sea in
Al-Batinah is largely intercepted by pumping in the coastal zone, with the leading edge of the saltwater
wedge having moved several kilometres inland in some cases.
The pipeline corridor passes through 3 governorates, the Ad Dhahirah Governorate, Al Buraimi and the
North Al Batinah Governorate. The Muscat Governorate is the centre of government and major urban
centre in Oman. The Al Batinah Region occupies a vital geographical location on the coast of the Gulf of
Oman. It is confined to a coastal strip of 25 km between the Gulf of Oman and the foot of the Al Harj Al
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Gharbi Mountains. Its total population is approximately 565,000 inhabitants. The coastal Al Batinah Plain
is the key region for agriculture, industry and settlement.
Figure 8: Villages within the NGL Pipeline Route (100m Buffer)
The locations of construction labour camps and project offices for the project have not been finalized yet.
Since the pipeline route is passing through Wilayats that has well established infrastructure, it is expected
that permanent accommodation facilities, with established infrastructure and facilities, available in the
area will be utilised for the staffs of construction contracting companies. Only a few porta-cabins to serve
as project offices may be installed during the construction activities. The EPC Contractor will select the
location for the site offices and organize to establish it.
NGLE
The proposed NGLE is located on about 100 ha of land area within dedicated oil and gas concession area
of Petroleum Development Oman Company, and near the Government‟s main gas pipeline. Proximity to
the natural gas line is the main consideration for the selection of this site. The site is located about 56 km
east of GGP n Yibal and about 100 km north of CPP) in Saih Rawl. Given the location within a
designated concession area, there is established social infrastructure available. There are eight primary
and secondary schools in the Fahud area. PDO provides some financial and material assistance to the
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local schools. As per the Annual Health Report 2007 from the Ministry of Health (MoH), the Adh
Dhahirah have total of 14 Government health institutions with headquarter at Ibri. There are no
government health care facilities in Fahud area. Private health-care facilities (clinic and ambulance
services) are available within PDO's residential camps. These facilities are generally made available to the
surrounding communities.
The construction workers will be sub-contractors staff who will be engaged by the EPC Contractor for
executing the various civil, mechanical and electrical works. Porta cabins will be installed on-site for
accommodating the project office and to provide the on-site catering and sanitation facilities for the
project staff. The EPC Contractor will select the location for the labour camp and organise to establish it.
Since selection of the EPC Contractor for the Project is to be done after completion of the FEED, the
location and number of construction camps is not known.
The major sources of potential impacts on public safety and health during construction phase are storage
and transport of hazardous substances; disposal of hazardous wastes; increased road traffic; large-scale
employment of immigrant workers; and off-site (third party) quarrying.
Except for the fuel oils, none of the substances used during construction pose any significant threat to
public safety and health. Fuel oil will be transported in dedicated oil tankers driven by certified drivers.
The fuel oil storage tanks will be provided with the necessary safety and leak containment facilities to
minimize any fire risk.
No significant hazardous wastes will be generated during construction. Any such quantities generated will
be disposed in facilities that meet the local regulatory requirements and approved by MECA.
The increased road traffic for the transport of material and men to the site for this project can result in
traffic disruptions and possibly higher number of road accidents. This requires a good coordination for
traffic management with local authorities.
Deployment of large-scale immigrant workers can pose some health risk to local population due to
introduction of communicable diseases. The expatriate workers constitute a significant percentage of the
total construction work force. It is expected that majority of the expatriate construction workers will be
from the established local contracting companies, and therefore most of them are expected to be long-
term (a few years) residents of Oman. Further, as per the Omani labor law, all immigrant workers will be
medically screened for any infectious diseases. Therefore, the risk level will be very low.
Rocks and aggregates required for the construction work will be sourced from local quarries. The EPC
contractors will not directly undertake quarrying. Instead, they will select approved sub-contractors to
supply the rocks and aggregates. Blasting at quarry sites for supplying rocks and aggregates for
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construction work may pose public safety risk as well as can cause some air and noise pollution due to
dust and noise generation. However, to ensure that the public are not exposed to any unacceptable safety
or health risk, the EPC contractors will ensure that the quarry operators have the necessary environmental
permit to operate. Therefore it is expected that the risk level will be low.
Figure 9: NGLE Location and Project Boundary
2. Labor and Working Conditions
The Sultanate of Oman is an International Labor Organization (ILO) member country. Further, the
Ministry of Manpower is vested with the responsibility to ensure adherence to human rights laws and fair
treatment to all residents as per the provisions contained in the MD 35/2003 Oman Labor Law. Moreover,
as per MD 286/2008, the Project shall ensure safety and health, and general welfare of laborers (direct
and contracted) and guard them against any hazards caused in the work environment.
Orpic will undertake sustainable training and development programs which will bridge the gaps between
the labor market demand and available labor force skills thus enhancing the Omani youth‟s abilities for
employment opportunities. The Project will ensure equitable, fair treatment of all employees as well as
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providing equal opportunity to everyone in compliance with the above during the construction and
operation phases.
3. Resource Efficiency and Pollution Prevention
This standard refers to the concerns over the atmospheric concentration of pollutants, especially GHGs
and the need to implement sustainable use of resources during the lifetime of the Project. The energy
efficiency measures, GHG reduction efforts (including quantification and reporting) and other Good
International Industry Practice (GIIP) that will be employed by the Project will be described in the EIA
report. The more stringent of Omani and WB/IFC standards and IPPC BAT requirements will be
applicable to the Project. Chapter 6 (climate affairs) of the EIA reports provide an estimate of the project
GHG emissions during the construction and operation phases of the three components. Orpic is
committed to energy efficiency and will evaluate options for decreasing GHG emissions throughout the
lifecycle of the Project.
4. Community Health, Safety and Security
Risks and impacts to the affected communities (if any) due to project construction and operation and their
mitigation measures is described in the ESMP section of the EIA report for all components of the Project.
An emergency response plan (ERP) is also part of the EIA study and provides measures that Orpic will
take to avoid and/or minimize environmental risks including exposure to hazardous materials, equipment
and other process related hazards.
5. Land Acquisition and Involuntary Resettlement
The project site for the PC and NGLE Plant will be located in SIPA and PDO‟s concession area
respectively. SIPA, a dedicated industrial area, is spread over an area of 132 km2 and located on Al
Batinah coast about 20 km north of Sohar and 220 km from Muscat. The NGLE Plant location is within a
concession area with no significant human population within 5 km of the project site. There is no land
acquisition or involuntary resettlement issues involved during the construction and operation phases.
The Pipeline will be constructed in parallel to the existing 32” OGC gas pipeline, which is in a corridor of
25 m wide. Since it follows an existing pipeline there will be minimal land impacts and it will not require
any additional land take.
6. Biodiversity Conservation & Sustainable Management of Living Natural Resources
The Sultanate of Oman is a signatory to the Convention on Biological Diversity and has provisions in its
environmental laws and regulations that clearly spell out the need for protection of biological diversity in
the country (RD 114/2001 for instance).
Orpic, Sultanate of Oman Equator Principles Report (LPIC)
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The PC and NGLE Plant will be located within the existing industrial area (SIPA) and concession area
respectively. The entire area of SIPA is earmarked for industrial development and is being used for
industrial activities. A number of mammals, birds, and reptiles are thought to inhabit the Fahud region
where the NGLE Plant will be located, though their populations are not considered to be significant.
The ESMP describes the measures Orpic will take towards biodiversity conservation and sustainable use
of natural resources. A review of the environmental laws and regulations in Oman is provided in the EIA
as part of the legal framework section.
7. Indigenous Peoples
Through the EIA process, adverse impacts to affected communities or loss of livelihood to any
community was assessed and documented. There are no indigenous people in the region who are likely to
be directly impacted by the Project in terms of losing property, access to the land area, loss of livelihood
etc. Orpic plans to implement an appropriate stakeholder engagement process and information disclosure
plans that will minimize the risk of escalating community grievances.
8. Cultural Heritage
Authorized personnel from the Ministry of Heritage and Culture will conduct a survey at the NGLE Plant
and PC and within the project influence area to identify and record any areas of cultural, religious and
archaeological importance. Such areas have been demarcated by Orpic and described in the EIA report.
Management of any environmental and social impacts to such areas will be a part of the ESMP.
Furthermore, since the Pipeline will follow an existing pipeline corridor, it is not expected to have any
impact on archaeology or cultural heritage.
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Table 8: IFC Performance Standards
Please note the following appendices are referenced to provide additional project information and context to the observations provided in Table 7:
Appendix A – Environmental Impact Assessment (EIA)
Appendix B – Environmental Management Plan (EMP)
Appendix C – Rapid Risk Assessment (RRA)
Appendix D – Orpic Health, Safety and Environment (HSE) Manual
Appendix E – Orpic Human Resources (HR) Manual
Appendix F – Communications Plan
Appendix G – Key Stakeholders Engagement Matrix
Appendix H – Contractor Organization Charts
Appendix I – Traffic Management Plan
Appendix J – Security Plan
Appendix K – Community/Corporate Social Responsibility (CSR) activities
Appendix L – Orpic Emergency Response Plan
Appendix M – Orpic‟s Training Program (Corporate and HSE)
Appendix N- Initial Impact Assessment of Construction camps
Key Requirements Observation References
Performance Standard 1: Assessment and Management of Environmental and Social Risks and Impacts
1.1 Environmental and Social Assessment and
Management System
Orpic has prepared and completed an EIA and supporting environmental
management plans to address environmental and social aspects of the
Project.
Appendix A: EIA2 (reference Appendix F of the EIA for Social Baseline Assessment)
Appendix B: Environmental Management Plan (EMP).
1.2 Policy Orpic has a comprehensive environmental and social policy and is
communicated across the organization on an annual basis. Orpic has a
dedicated Environmental Manager responsible for communicating,
executing and ensuring compliance with Orpic‟s Environmental and Social
Policy. To ensure compliance with all policies and manuals, Orpic will
include a clause in the EPC tender requiring adherence to Orpic policy
requirements at a minimum. Orpic will perform quarterly audits on the EPC
to monitor and track compliance.
Appendix D (Orpic HSE Process Manual)
Appendix E (Orpic HR Manual)
1.3 Identification of Risks and Impacts A comprehensive environmental and social impact assessment to address all
risks through construction, operation and decommissioning phases of the
Project has been undertaken as part of the EIAs. The project influence area is
detailed in the EIA and includes all project related activities and
facilities/operations.
Appendix A (EIA, Sections 3 & 8)
2 Appendix A includes EIAs for all three project areas: NGLE facility, Pipeline and Petrochemical Complex.
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Key Requirements Observation References
1.4 Management Programs Environmental management plans to address all environmental aspects (e.g.
waste, air, noise, etc.) include mitigation measures and controls for
construction and operational phases.
Appendix B3 (Environmental Management Plan (EMP)).
1.5 Organizational Capacity and Competency The EMP developed for the Project includes a detailed organizational
structure that clearly defines responsibilities and authorities.
Appendix B (EMP-Section 1.2)
1.6 Emergency Response and Preparedness A Rapid Risk Assessment (RRA) was completed for the Project which
includes an emergency response plan that addresses all international and
Omani regulations. This response plan will be updated to include LPIC in
accordance to SIPA and Civil Defense. Orpic implement clear and tiered
emergency planning, preparedness and response procedures across all plants.
Orpic‟s procedures have been developed to deal with different levels of
possible emergencies at the workplace, and regular drills are performed
throughout the year to ensure the readiness of and effectiveness of the
response. Orpic‟s firefighting department is capable of handling fire
incidents quickly and effectively. The three levels of protection include
operation first line crews, retained fire brigade and full-time firemen on 24-
hour duty. These teams are highly trained in firefighting and also participate
in annual emergency exercises.
Appendix C (RRA, Section 5).
1.7 Monitoring and Review The EMP includes a requirement that stipulates periodic review/monitoring
of the environmental management program. The EPC Contractor will be
responsible for periodic monitoring of the environmental management plan,
including documentation of the monitoring during the construction phase.
Orpic is responsible for periodic monitoring of the environmental
management plan, including documentation of the monitoring during the
operational phase.
Appendix B (EMP, Section 3)
1.8 Stakeholders Engagement Orpic have identified stakeholders for the Project and engages them through
their Communications and External Relations Team. This is in accordance
with Orpic‟s External Communications Policy-Media Relations. Orpic
Appendix D (Orpic HSE Process Manual, Section A, No. 7).
Appendix A (EIA, Section 8).
Appendix F (LPIC Communication Plan)
Appendix G (Key Stakeholders Engagement Matrix).
3 Appendix B includes EMPs for all three project areas: NGLE facility, Pipeline and Petrochemical Complex
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Key Requirements Observation References
discloses project background and relevant information to stakeholders
through their website and newsletters. Newsletters are posted on the Orpic
website on a consistent and periodic basis. In order to get feedback from all
stakeholders, Orpic's Trade Union was involved in the preparation of the
code of conduct. The trade union provided valuable inputs and comments,
Through the LPIC Communications Plan, Orpic will engage with
government stakeholders to detail influences, impacts and actions taken in
the project area (see Appendix G for list of identified stakeholders for this
project).The three EIAs analyzed potential impacts on the surrounding
community including noise, air quality, water, and waste. This analysis
confirmed that the Project will not significantly impact the surrounding
community within the project influence area.
In addition, the main objective of Orpic‟s Corporate Social Responsibility
(CSR) framework is to contribute and support the local development
initiatives (social and economic), this includes engaging with a wide number
of stakeholders on regular basis and focusing on executing CSR projects that
are in line with the Government‟s direction and the society‟s needs and
expectations.
Appendix K (Community and CSR Activities)
Orpic 2012 Sustainability Report: http://orpic.om/uploadsall/publications/pdf/Orpic%202012%20Sustainability%20Report%20English.PDF
1.9 External Communication and Grievance
Mechanism
Orpic has developed a procedure for external communications, complaints
and grievances. In keeping with the HSE Policy Statement, Orpic‟s highest
priority is to provide for the safety and environment of the local
communities. It has a goal of “minimize the impact of our activities on
environment and society.”
The objective of the Environment and Community Complaints procedure at
Orpic is to understand perceived and actual impacts on the community and
stakeholders, correct the situation as appropriate, feedback on the correction
to the complainant, and through management review, develop strategies to
prevent the causes of the complaints. In responding to the complaints, a key
emphasis is a timely resolution of the immediate issue. The process, while
facilitated by the HSE Department, requires the integration and involvement
of a number of departments to resolve the complaints. For LPIC, external
Appendix D (Orpic HSE Process Manual, Section B).
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Key Requirements Observation References
grievances can be reported in person at the Sohar community liaison office,
over the phone via a dedicated hotline number or at the corporate offices.
Management is involved in the development of longer term strategies, as
appropriate, to deal with the causes of the complaints.
Orpic established the new Orpic Visitor Centre at Sohar Refinery, which was
inaugurated in May 2012 under the patronage of H.E. Sheikh Hamad bin
Salam Al Aghbari, Wali of Liwa.
The centre, which is equipped with presentations and educational material in
both Arabic and English, aims to provide public visitors with an integrated
image of Orpic‟s growth and production journey. The centre also seeks to
inform the public about the environmental and social initiatives that Orpic is
dedicated to throughout our operations.
To provide visitors with a „real experience‟ of what Orpic stands for, visitors
can also take a tour of Orpic facilities in Sohar and can acquaint themselves
with samples of products. Orpic is committed to building strong
relationships with local communities that go beyond o routine business
activities. In December 2011, Orpic together with Sohar Aluminium and
Vale founded the non-profit organisation „Jusoor‟ as a catalyst for
implementing sustainable socio-economic development projects in the North
Al Batinah Governorate.
This partnership was developed with the following key objectives:
• To unify the corporate social responsibility (CSR) activities of the three
companies;
• To facilitate communication with civil society by selecting programmes
and projects that support sustainable
development; and
• To appoint a specialized CSR team that understands our local
communities‟ demographics and societal needs and is capable of interacting
effectively with stakeholders and the general public.
To support this partnership, Orpic and our neighbouring Jusoor founding
partners are committed to raising a total of US$ 20 million by 2017 to
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Key Requirements Observation References
support Jusoor‟s continued success.
1.10 Ongoing Reporting to Affected
Communities
Orpic provides periodic project updates to affected communities through
their website and newsletters. In addition, information can be found at the
local offices and corporate headquarters. Town hall meetings are organized
on a periodic basis to discuss ongoing projects and address any community
concerns.
Refer to Orpic‟s website: http://www.orpic.om/media-center
Performance Standard 2: Labor and Working Conditions
2.1 Working Conditions and Management of
Workers Relationship – International
conventions and organizations (E.g. UN
Convention for Worker Protection and
International Labor Organization).
Orpic has a Human Resources Manual outlining policies and procedures
explaining employee rights as per the Omani Labor Law. Additionally,
Oman is a signatory of the International Labor Organization convention that
promotes rights at work, encourages decent employment opportunities,
enhances social protection and strengthens dialogue on work-related issues.
Worker accommodation: Orpic‟s accommodation will be self-managed, with
the current accommodation provided by PDO in Sohar. The EPC, once
appointed, will select, plan and manage their respective camps. Terms for
the EPC include pre-assessment to determine where the camps will be
located and impact of such camps on transportation, traffic, water
consumption, community facilities, etc. The terms for the EPC regarding
accommodation for the workers will reference the IFC EBRD (European
Bank for Reconstruction and Development) Worker Accommodation
Guidelines and Orpic will monitor the camps using the checklist provided in
the guidance document. There will be three construction camps with a peak
workforce of approximately 17,000 personnel in total for all three
components of the LPIC project. Approximately 15,000 personnel at peak
will be working for Petrochemical complex at Sohar and 1,000 for NGLE
and 1,000 for Pipeline project. The final layout and internal configurations
for all construction camps is unknown and will be developed by the EPC
post FEED in consultation with Orpic. An initial impact assessment of the
camps has been conducted to identify potential environmental releases and
Appendix H: Contractor Organization Charts
Appendix E (Orpic HR Manual)
IFC EBRD Guidelines: http://www.ebrd.com/downloads/about/sustainability/Workers_accomodation.pdf
Appendix N: Construction Camps Initial Impact Assessment
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Key Requirements Observation References
impacts. It is the responsibility of the EPC to develop a construction
environmental management plan.
2.2 Protecting the Work Force Orpic has a dedicated Human Resource Policy which sets out working
conditions and terms of employment in accordance with the Omani Labor
Law. Employees express any concerns internally through the HR
department. In addition, in order to get feedback from all stakeholders,
Orpic's Trade Union was involved in the preparation of the code of conduct.
The trade union provided valuable inputs and comments. Such concerns can
be escalated to the Ministry of Manpower. All parties involved through the
stages and phases of the project will, at a minimum, be in compliance with
the Omani Labor Law (as per Opric HR policy).
Appendix A (EIA, section 2)
Appendix H: Contractor Organization Chart
Appendix E (Orpic HR Manual)
2.2.1 Child Labor and Forced Labor The EPC Contractor will be in compliance with the Omani Labor Law
during construction phase of the Project. Omani Labor Laws prohibits child
labor and forced labor. Orpic will follow the same during the project
operational phase. The legal working age in Oman is 18 and above. This law
will be enforced by local regulators throughout the lifecycle of the project.
Appendix H: Contractor Organization Chart
2.3 Occupational Health and Safety Orpic will ensure the implementation of a HSE Manual to address
occupational health and safety during all phases of the project. Orpic will
ensure health and safety trainings are conducted during all phases of the
project. This is as per the HSE Policy manual. Refer to Appendix M for
Orpic‟s Corporate and HSE training schedule.
Orpic follows MD 286/2008 Occupational Health and Safety which
identifies and ranks occupational hazards. Furthermore, Orpic has an
occupational health and hygiene procedure which outlines the methods for
controlling hazards and determining corrective actions/controls.
Orpic has developed and implemented an incident investigation procedure.
Appendix D (HSE Policy Manual, Section B)
Appendix H: Contractor Organization Chart
Appendix M: Orpic‟s Corporate and HSE training programs
Orpic 2012 Sustainability Report: http://orpic.om/uploadsall/publications/pdf/Orpic%202012%20Sustainability%20Report%20English.PDF
2.4 Workers Engaged by Third Parties Orpic contractual agreements mandate policies and procedures for third
parties. This includes Orpic‟s labor and working conditions requirements as
stipulated in Orpic‟s Human Resources Policy Manual 2012.
Appendix E (HR policy Manual 2012)
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Key Requirements Observation References
2.5 Supply Chain There is no high risk of child labor or forced labor in the primary supply
chain.
A traffic management plan for the supply chain has been prepared for this
project to communicate the plan‟s requirements to the EPC contractors and
their subcontractors. During the construction phase of the LPIC it is
recognized there will be very extensive daily traffic movements of
personnel, plant equipment, deliveries etc. A provisional study indicates
there will be approaching 9,000 daily individual traffic movements during
the peak construction period. The traffic management plan for this project
identifies the type of movement, restrictions and logistics required to
alleviate congestion and to ensure safety issues are effectively managed.
The plan will be shared and enforced on all contractors throughout the
project lifecycle. The plan includes key definitions, responsibilities, EPC
Contractors Transportation Plan, general information and vehicle and
equipment instructions.
Appendix B (EMP of Petrochemical Complex)
Appendix I (LPIC Traffic Management Plan)
Performance Standard 3: Resource Efficiency and Pollution Prevention
3.1 Resource Efficiency Orpic has evaluated technology options through a BAT analysis to enhance
efficiency and optimize processes with the aim of reducing energy, water
and other resource consumption.
Orpic assessed compliance with Omani and IFC standards and adopted the
more stringent control measures.
Appendix A (EIA, Section 6).
Equator Principles Report Section 3 (EHS and MECA matrix).
Orpic 2012 Sustainability Report: http://orpic.om/uploadsall/publications/pdf/Orpic%202012%20Sustainability%20Report%20English.PDF
3.1.1 Greenhouse Gases (GHG) GHG emissions for the Project were calculated and assessed in the EIA. The
Project is expected to produce more than 25,000 tons of CO2-equivalent
annually. Orpic has considered alternatives and implemented technically and
financially feasible options to reduce GHG emissions throughout the
lifecycle of the Project. Orpic completed a comprehensive air dispersion
modeling exercise for the Project. The resultant ground level concentrations
for all pollutants (except particulate matter (PM10)) are within the applicable
limit as specified in Omani Ambient Air Quality Standards.
Appendix A (EIA, Sections 6, 7 & 8).
Orpic 2012 Sustainability Report: http://orpic.om/uploadsall/publications/pdf/Orpic%202012%20Sustainability%20Report%20English.PDF: Orpic‟s Sustainability Framework report (2012)
Orpic, Sultanate of Oman Equator Principles Report (LPIC)
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Key Requirements Observation References
3.1.2 Water Consumption Orpic has evaluated technology options through a BAT analysis to reduce
water consumption where technically and financially feasible. The Project
has adopted the zero discharge requirements of the Sohar Environmental
Unit (SEU).
Appendix A (EIA, Section 6).
Orpic 2012 Sustainability Report:
http://orpic.om/uploadsall/publications/pdf/Orpic%202012%20Sustainability%20Report%20English.PDF
3.2 Pollution Prevention Orpic conducted a robust baseline environmental assessment to adequately
define the existing ambient conditions and consider relevant factors.
Additionally, a BAT analysis was conducted to assess options for reducing
pollution where technically and financially feasible. Orpic will consider
additional strategies and adopt measures that avoid of reduce negative
impacts where possible.
Appendix A (EIA, Section 4 and Section 6).
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3.3 Wastes Orpic has developed a waste management plan (hazardous and non-
hazardous) outlining a hierarchical approach. In addition, Orpic has a well-
developed temporary facility to collect the generated hazardous waste.
Hazardous waste removal will be conducted by a Government approved
hazardous waste management contractor.
Appendix B (EMP, Section 2 and 3).
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3.4 Hazardous Material Management Orpic has evaluated technology options through a BAT analysis to reduce
hazardous waste. Orpic has also developed a waste management plan for
hazardous and non-hazardous waste. Orpic has conducted an assessment of
chemicals and hazardous materials through the BAT assessment and are not
using chemicals or hazardous materials that are subject to international bans
or phase outs.
Appendix A (EIA, Section 6)
Appendix B (EMP, Section 2 and 3).
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3.4.1 Pesticide Use and Management Not applicable for this project.
Performance Standard 4: Community Health, Safety and Security
4.1 Community Health and Safety Environmental management plans to address all environmental aspects (e.g.
waste, air, noise, etc.) include mitigation measures and controls for
construction and operational phases to avoid impacts from spreading outside
the project‟s boundaries. In addition, Orpic assessed compliance with Omani
and IFC standards and adopted the more stringent control measures.
Appendix A (EIA, Section 6).
Appendix B (Environmental Management Plan (EMP))
Section 6 of this report (EHS and MECA matrix).
Appendix K (Community and CSR Activities)
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Key Requirements Observation References
DF
4.1.2 Infrastructure and Equipment Design and
Safety
Orpic conducted an EIA and prepared environmental management plans for
all three project sites, taking into consideration health and safety risks to
third parties or affected communities. Structural elements of the Project have
been designed and will be constructed by competent and approved
contractors. Orpic contractual agreements mandate policies and procedure
for third parties which include safety requirements.
Appendix A (EIA, Section 6).
Appendix B (Environmental Management Plan (EMP))
Appendix D (HSE Policy Manual, Section B)
Orpic 2012 Sustainability Report: http://orpic.om/uploadsall/publications/pdf/Orpic%202012%20Sustainability%20Report%20English.PDF
4.1.3 Hazardous Materials Management and
Safety
Orpic has evaluated technology options through a BAT analysis to reduce
the generation of hazardous waste, hence, reduce community exposure to
hazardous waste. Orpic has also developed a waste management plan for
hazardous and non-hazardous waste.
Appendix A (EIA, Section 6)
Appendix B (EMP, Section 1.1. and 1.2).
Orpic 2012 Sustainability Report: http://orpic.om/uploadsall/publications/pdf/Orpic%202012%20Sustainability%20Report%20English.PDF: Orpic‟s Sustainability Framework report (2012)
4.1.4 Ecosystem Services The Project spans over 3 locations. The Petrochemical Complex is located
within an existing industrial estate where direct impacts on priority
ecosystem services were conducted by the Government of Oman during
planning phase and specific mitigation measures were adopted prior to the
industrial development of the area. In addition, as part of baseline studies for
the Project, a rapid flora and fauna assessment was conducted at the project
site to verify and update findings from previous ecological studies conducted
in the area.
The site for NGLE Plant is in the midst of a desert where other than few
scrubs commonly found in arid ecosystem, no other environmentally
significant features exist.
The ecology and biodiversity of the pipeline will be minimally impacted.
The pipeline is located within the existing OGC pipeline corridor.
Appendix A (EIA, Section 4 and Appendix E)
4.1.5 Community Exposure to Disease Orpic completed an EIA for the Project and the associated activities assessed
do not result in water-borne, water based, water related or vector borne
diseases to the community. It is worthwhile to note that there are no
Appendix A (EIA)
Orpic 2012 Sustainability Report:
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Key Requirements Observation References
communities found in the NGLE project area and very limited numbers of
communities reside in the surrounding areas of the pipeline.
http://orpic.om/uploadsall/publications/pdf/Orpic%202012%20Sustainability%20Report%20English.PDF:
Orpic‟s Sustainability Framework report (2012)
4.1.6 Emergency Preparedness and Response A Rapid Risk Assessment (RRA) was completed for the PC which includes
an ERP that addresses all international and Omani regulations and
collaborates with government agencies. In addition, Risk assessments of
plants and operations are carried out routinely, and business processes are
regularly reviewed to ensure that hazards are identified and the associated
risks mitigated to a level which is as low as reasonably practicable
(ALARP). According to Orpic‟s Sustainability Framework report (2012),
risk management strategy includes:
1- Risk Studies: To understand and control the impact of operations on
health, safety and environment, health, safety, and environment
impact assessments (HSEIAs) are conducted during the planning
and development phases of Orpic‟s projects, in compliance with
local regulations.
2- Quality Control: Orpic is certified to ISO 9001 for Quality Control
has a documented supplier quality management system for the
procurement of materials and services. This includes policies and
procedures covering the entire procurement process, including
supplier pre-qualification and supplier performance evaluation
through reviews, audit, etc
3- Emergency Preparedness and Response: Orpic has a clear and 3
tiered emergency planning, preparedness and response procedures
across all plants. The three levels of protection include operation
first line crews, retained fire brigade and full-time firemen on 24-
hour duty.
4- Security: The security of Orpic‟s plants is maintained by the
Security & Safety Services LLC, an independent company that is
trained by the Royal Oman Police, which provide 24/7 coverage.
Furthermore, Orpic has an overarching Emergency Response Plan (ERP)
with the defined purpose “To optimize mitigation & recovery in the event of
emergency.” This plan shall be applicable for any emergency which occurs
at Orpic controlled premises at Sohar complex (Sohar Refinery, Aromatic
Appendix C (RRA, Section 5.5).
Appendix L: Orpic Emergency Response Plan
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Key Requirements Observation References
Plant and Polypropylene Plant) MAF & Raysut. The owner of the ERP is the
Chief Operating Officer (COO) who is responsible for issuing the ERP
under signature & there after issuing the clear directives to the custodian on
how the ERP shall be maintained and implemented. The custodian of the
ERP manual is the Senior Manager-HSE. As a custodian he/she is
responsible for ensuring that ERP is maintained as per COO directives.
Based on industry experience and confirmed by Risk Assessment) the
following has emerged as potential scenarios addressed in the ERP:
• Various Fire Scenario‟s
• Release of Toxic Gas, Spillages and Radiation
• Medical Emergencies
• Natural Phenomena
• Security Related Issues
The ERP details emergency management, communication plans during
emergencies, duties and responsibilities of key ERP personnel, guidelines
for handling process related incidents, releases of toxic gas, spillages and
radiation, medical emergencies, security related issues, mock drills, and a set
of appendices for further references such as focal point details, organization
structure, and emergency contacts at each operational area.
4.2 Security Personnel The EPC contractor for this project shall develop a Site security plan (Site
Security Plan) to ensure that they and each Subcontractor comply with all of
Opric‟s security requirements (see Appendix J for Site Security
Requirements). The Site Security Plan shall be developed and operated in
conjunction with the HSSE Plan and in accordance with all applicable laws
and regulations. The security personnel on site will not be armed. The Royal
Oman Police are the trained armed force for front line defense against all
security breaches. In addition, every contractor at Orpic (consequently the
EPC in the case of LPIC) is required to implement to assess and mitigate the
losses associated with security issues. The Contractor is also required to
have a written policy and strategy for security, dated and signed by an
authorized representative of the Contractor. The Contractor shall develop a
security management plan for all areas where the Works are to be performed
Appendix J: Orpic‟s Site Security Requirements
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Key Requirements Observation References
and for the transportation of all components between work areas. The
Security Management Plan shall make specific reference to each stage of the
Contract, and to the particular security requirements at the Site and each
work area. Written contingency plans and procedures, identifying instances
where security precautions should be taken, shall be included which cover
all stages of the Works. The Contractor will be responsible for
demonstrating to Orpic (LPIC management) that all security risks which fall
under Contractor‟s responsibility have been reduced to a level that is as low
as reasonably practicable. The Contractor shall have written security
procedures available that shall be made familiar to all Contractor‟s Personnel
and shall be available in the working language of such personnel and in
English. The Security Procedures shall define the Contractor‟s control and
implementation of all security aspects. The Owner will review the
Contractor‟s compliance with the Security Management Plan on a regular
basis and will carry out milestone reviews and close-out reviews in close
cooperation with the Contractor. Orpic will review the Contractor‟s
compliance with the Security Management Plan on a regular basis and will
carry out milestone reviews and close-out reviews in close cooperation with
the Contractor.
Orpic carries out security inspections of the work areas and the Site and
reserves the right to shut down the Contractor‟s Works if any significant
security breaches are found. The Contractor will not be permitted to resume
the Works until such practices or conditions are corrected. All costs and
schedule impact incurred for all such corrections shall be borne by the
Contractor. The Contractor shall implement all agreed recommendations
from such security inspections within a time mutually agreed between Orpic
and the Contractor. The Contractor shall include in Subcontracts the right of
access for Orpic as described above.
Orpic reserves the right to include Owner nominated security personnel, at
Orpic‟s cost, to work with the Contractor‟s security team at work areas and
the Site. The Contractor shall provide rights of access for the Owner
nominated security personnel.
The security of operational plants at Orpic is maintained by the Security &
Safety Services LLC, an independent company that is trained by the Royal
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Key Requirements Observation References
Oman Police, which provide 24/7 coverage ensuring full protection of
Orpic‟s assets.
Performance Standard 5: Land Acquisition and Involuntary Resettlement
5.1 General The Project does not involve any land acquisition and involuntary settlement
since is the petrochemical complex is being established in an existing
industrial area. As for the NGLE facility, it is established in the middle of
the desert where no communities reside. As for the pipeline no additional
land acquisition is envisaged since the proposed pipeline will be constructed
within an existing OGC gas pipeline. The EIA assessed the impact of land
use and local communities which indicated that there will be insignificant or
no land use conflicts with local communities
Appendix A (EIA, Section 8)
Performance Standard 6: Biodiversity Conservation and Sustainable Management of Living Natural Resources
6.1 General The EIA detailed an analysis of the risks and impacts of the ecological
setting of the project site and its vicinity. This analysis considered related
impacts on biodiversity and ecosystem services. The ecological assessment
was carried out at the project sites and its vicinity to fulfill following
objectives:
To document and enlist flora and fauna;
To identify sensitive sites and habitats if any; and
To assess the impact of flora, fauna and associated habitats within study area
The project activities will not lead to significant destruction of habitat and
threat to the maintenance of biodiversity.
Appendix A (EIA, Appendix E)
Orpic 2012 Sustainability Report:
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Orpic‟s Sustainability Framework report (2012)
6.2 Protection and Conservation of
Biodiversity (Modified habitat, Natural
Habitat, Critical Habitat, Legally
protected and internally recognized areas,
Invasive alien species)
There are no ecological sensitivities at the project sites that will be lost
whilst implementation of the Project. Loss of vegetation can be compensated
by planting native tree species during landscaping work. Measures such as
creation of vegetation screen using native vegetation can be considered
during landscaping work. These aspects have been assessed to add to
biodiversity of the area.
Appendix A (EIA, Appendix E)
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Key Requirements Observation References
6.3 Management of Ecosystem Services The EIA detailed an analysis of the risks and impacts of the ecological
setting of the site and its vicinity. This assessment indicated that the Project
is unlikely to adversely impact ecosystem services.
Appendix A (EIA, Appendix E)
6.4 Sustainable Management of Living
Natural Resources
Not applicable for this Project.
6.5 Supply Chain Not applicable for this Project.
Performance Standard 7: Indigenous Peoples
7.1 General The EIA assessed communities of Indigenous Peoples within the project area
of influence who may be affected by the Project. The social-economic
impact assessment identified the villages within the project influence area.
This analysis confirmed that the Project will not significantly impact the
surrounding community of Indigenous People.
Appendix A (EIA, Section 8).
7.2 Circumstances requiring Free, Prior and
Informed Consent
Not applicable for this Project.
7.3 Mitigation and Development Benefits Not applicable for this Project.
7.4 Private Sector Responsibilities Where
Government is Responsible for Managing
Indigenous People Issues
Not applicable for this Project.
Performance Standard 8: Cultural Heritage
8.1 Protection of Cultural Heritage in Project
Design and Execution
Based on the field study conducted during EIA, no cultural or archaeological
resources within the project site were found. Hence no impact is envisaged.
Appendix A (EIA, Section 8).
8.2 Project‟s Use of Cultural Heritage Not applicable for this Project.
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Section 4. EHS Guidelines
The LPIC Project compliance status with stringent national environmental and social laws is detailed
and demonstrated in the EIA (Refer Appendix A). The EHS Guidelines complement these standards
and provides a technical reference to the IFC Performance Standards. This section addresses the
application of the relevant EHS Guidelines to the LPIC Project. The tables presented in this section
summarize and highlight the criteria and limits for the different environmental aspects between the
EHS Guidelines and MECA requirements (Oman legislation and regulations). For the LPIC Project
OPRIC assessed the LPIC Project impacts as part of the EIAs against the Omani regulations and the
EHS Guidelines. In all instances OPRIC adopted the more stringent requirements and guidelines.
Applicable EHS Guidelines
The EHS Guidelines are a requirement under Equator Principle III and The EHS Guidelines address
environmental practice, occupational health and safety practice, community health and safety for
entire life cycle of the Project.
Applicable International Finance corporation (IFC) EHS guidelines for the LPIC Project are as
follows:
1. Environmental, Health, and Safety General Guidelines (April 30, 2007). This guideline
applies to facilities or projects that generate emissions to air at any stage of the project life-
cycle.; and
2. Environmental, Health and Safety Guidelines for Large Volume Petroleum-based Organic
Chemicals Manufacturing (April 30, 2007). It is applicable to the Project as the process
involves lower olefins from virgin naphtha, natural gas, and gas oil with special reference to
ethylene and propylene, and the main co-products [C4, C5 streams, pyrolysis gasoline (py-
gas)] as these are feedstock for organic chemicals manufacturing.
Noise
Table 9 presents a comparison of noise standards applicable in Oman against IFC EHS Guidelines
(Environmental, Health, and Safety General Guidelines, April 30, 2007).
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Table 9: Noise Level - EHS Guideline vs. Omani Standards
# Receptor EHS Guideline Omani Standards (MD 79/94)
Day time Night time Day time Night time
1 Residential;
institutional;
educational
55 45 50 40
2 Industrial;
commercial
70 70 70 70
The Omani standard (MD 79/94) is more stringent than the EHS Guideline for noise levels and as
such the Omani Standard was adopted for the LPIC Project.
Ambient Air quality
A comparison between WHO standards as specified in IFC EHS Guidelines (Environmental, Health,
and Safety General Guidelines, April 30, 2007) and the Omani Ambient Air Quality Provisional
Standards presented in Table 10.
Table 10: Comparison between WHO standards as specified in IFC EHS Guidelines
(Environmental, Health, and Safety General Guidelines, April 30, 2007) and the Omani Ambient
Air Quality Provisional Standards
# Parameter Averaging period EHS Guidelines(µg/m3) Omani Ambient Air
Quality Provisional
Standards (µg/m3)
1 NO2 24-hr 112
2 SO2 24-hr 125 125
3 CO 8-hr 6,000
4 H2S 24-hr 40
5 O3 8-hr 160 120
6 HCNM 3-hr 160
7 PM 10 150 125
The Omani Standard Ambient Air Quality Provisional Standard is more stringent than the EHS
Guideline for air quality and as such the Omani Standard was adopted for the Project.
Orpic, Sultanate of Oman Equator Principles Report (LPIC)
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Treated Effluent Discharge
A comparison for effluent discharge was undertaken to assess the standards in the EHS Guidelines for
Large Volume Petroleum-based Organic Chemicals Manufacturing (April 30, 2007) against the
Omani Marine Discharge Standard MD 159/2005 and is presented in Table 11.
Table 11: Comparison of effluent discharge standards in the EHS Guidelines for Large Volume
Petroleum-based Organic Chemicals Manufacturing (April 30, 2007) and the Omani Marine
Discharge Standard MD 159/2005
# Parameters Units EHS Guidelines for
Large Volume
Petroleum-based
Organic Chemicals
Manufacturing (April
30, 2007)
Omani Marine
Discharge Standard
(MD 159/2005)
1 pH S.U. 6 – 9 6-9
2 Temperature Increase °C =3 NA
3 BOD5 mg/l 25 20
4 COD mg/l 150 200
5 Total Nitrogen mg/l 10 15
6 Total Phosphorous mg/l 2 2
7 Sulfide mg/l 1 0.1
8 Oil and Grease mg/l 10 10
9 TSS mg/l 30 30
10 Cadmium mg/l 0.1 0.01
11 Chromium (total) mg/l 0.5 0.05
12 Chromium (hexavalent) mg/l 0.1 NA
13 Copper mg/l 0.5 0.2
14 Zinc mg/l 2 1
15 Lead mg/l 0.5 0.08
16 Nickel mg/l 0.5 0.1
17 Mercury mg/l 0.01 0.001
18 Phenol mg/l 0.5 0.002
19 Benzene mg/l 0.05 Not Regulated
20 Adsorbable Organic
Halogens (AOX)
mg/l 1 < 0.001
21 Toxicity Case Basis
Orpic, Sultanate of Oman Equator Principles Report (LPIC)
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The Omani Marine Discharge Standard MD 159/2005 is more stringent than the EHS Guideline Large
Volume Petroleum-based Organic Chemicals Manufacturing (April 30, 2007) and as such the Omani
Standard was adopted for the Project.
In stack Concentrations
A comparison for in stack concentrations was undertaken to assess the standards in the EHS
Guidelines for Large Volume Petroleum-based Organic Chemicals Manufacturing (April 30, 2007)
against the Omani standard for Air Emission from Stationary Sources, MD 118/2004 and is presented
in Table 12.
Orpic, Sultanate of Oman Equator Principles Report (LPIC)
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Table 12: Comparison for in stack concentrations standards in the EHS Guidelines for Large
Volume Petroleum-based Organic Chemicals Manufacturing (April 30, 2007) and the Omani
standard for Air Emission from Stationary Sources, MD 118/2004
# Pollutant EHS Guidelines for Large
Volume Petroleum-based
Organic Chemicals
Manufacturing (April 30, 2007)
(mg/Nm3)
Oman Air Emission from
Stationary Sources, MD 118/2004
(mg/Nm3))
Environmental, Health and Safety Guidelines for Large Volume Petroleum-based Organic Chemicals Manufacturing, April 30 2007
Section 20, Petrochemical works
1 Particulate Matter (PM)
20 10
2 Nitrogen Oxides 300 150
3 Sulfur Oxides 100 35
4 VOC 20 10
Environmental, Health, and Safety General Guidelines, April 30 2007 and EHS guideline for Thermal Power plant December 19 2008
Section 13, Power Plants and Section 18 Combustion Sources
1 Particulate Matter (PM)
NA 50
2 Nitrogen Oxides Power Generation: 152
Boilers: 320
150
3 Sulfur Oxides Use of 0.5% or less Sulphur fuel 35
4 VOC NA 10
The Omani Air Emission from Stationary Sources, MD 118/2004 is more stringent than the EHS
Guideline Large Volume Petroleum-based Organic Chemicals Manufacturing (April 30, 2007) and as
such the Omani Standard was adopted for the Project.